What childcare tax credits are available in Michigan?

In Michigan, you can claim the federal Child and Dependent Care Credit (20–35% of qualifying expenses, up to $3,000 for one child or $6,000 for two or more). The federal credit rate is 20% for most families earning over $43,000. State credit: None. Michigan has no state child care tax credit currently.

How much is the federal child care tax credit in 2026?

The federal Child and Dependent Care Credit for 2026 is 20–35% of qualifying expenses. Most families (AGI over $43,000) get 20%. The expense cap is $3,000 for one child or $6,000 for two or more — giving a maximum credit of $600 (one child) or $1,200 (two+ children). Lower-income families earn a higher rate, up to 35% for AGI under $15,000.

Does Michigan have a childcare subsidy program?

Yes. Michigan participates in the federal CCDF (Child Care Development Fund) program. Families of 4 earning up to $5,800/month may qualify for subsidized childcare. Apply through Michigan CCIS (Child Care Infant Scholarship). Income limits vary by family size.