| 19(1) | File No. 5-9773 |
| J.D. Jones | |
| 957-2104 |
March 27, 1990
Dear Sirs:
Re: Claim for Child Care Expenses
This is in reply to your letter of March 5, 1990, wherein you requested our opinion concerning the issuance of receipts on the basis that such receipts are "child care expenses" for income tax purposes.
It is our understanding that your situation may be summarized as follows.
24(1)
We advise that education costs do not qualify as child care expenses and, accordingly, based upon the above, it is our view that such expenses should not be shown on receipts issued to parents as "child care fees" but are more properly characterized as "tuition fees". We also advise, however, that if any portion of the fees relates to child care services provided, the school should split the fee accordingly.
We have attached, for your perusal, the Department's Interpretation Bulletin IT-495R dealing with this subject and would direct you attention to paragraphs 3 and 4 thereof, in addition to the Child Care Expenses Tax Guide and would direct your attention to page 5 and the comments contained in the questions and answers section under the heading "What payments do not qualify?"
We trust our comments are of assistance to you.
Yours truly,
for DirectorBusiness and General DivisionSpecialty Rulings Directorate Legislative and Intergovernmental Affairs Branch