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Dependent Care FSA


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Guest kackroyd
Posted

Can an employee and his spouse (employed by another company) both take advantage of a DCFSA? Are there any tax implications? Thank you!

Posted

They won't gain any tax advantage from participating in two DCFSAs. Part III of IRS Form 2441 computes the excess benefit received over $5,000 and adds it to income on Form 1040, line 7.

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