IT-652: Employer-Provided Childcare Credit (2024)
New York · NY DTF · Used for tax years 2024
Form IT-652 calculates New York’s Employer-Provided Childcare Credit for qualified childcare facility expenditures and qualified childcare resource and referral expenditures. It also reports shares of credit and recapture received from partnerships, New York S corporations, estat
Who files this form
Use Form IT-652 to claim the Employer-Provided Childcare Credit as an individual sole proprietor, partnership, or fiduciary of an estate or trust that earned the credit.
The form also covers partners, shareholders of New York S corporations, and estate or trust beneficiaries who receive a share of the credit or recapture from an entity. Recapture amounts are reported in Schedule E.
What you'll need
Have the information needed for the schedules that apply to you:
- Your name and identifying number as shown on your return.
- Each qualified childcare facility’s physical address and qualified facility expenditures paid or incurred.
- For qualified childcare resource and referral expenditures: each employee’s first and last name, work-location ZIP code, Social Security number, and expenditure amount.
- For a credit or recapture received from an entity: the entity’s name, type, EIN, and your share of credit or recapture.
- For fiduciary allocations: beneficiaries’ names as shown on Form IT-205, Schedule C, identifying numbers, and shares of credit or recapture.
- For recapture calculations: the federal recapture amount on New York property, the federal credit originally allowed on that property, and the New York credit originally allowed.
How to file
Submit Form IT-652 with Form IT-201, IT-203, IT-204, or IT-205. The supplied form does not give a mailing address or e-file instructions.
All filers must answer line A:
- Yes, you earned the credit: Individuals who are sole proprietors and partnerships complete Schedules A and D. Fiduciaries complete Schedules A, C, and D.
- No, you received a share of the credit: Complete Schedules B and D. Fiduciaries also complete Schedule C.
- Complete Schedule E if applicable.
For total recapture on line 25:
- Individuals, partners, S corporation shareholders, and beneficiaries enter the amount and code 652 on Form IT-201-ATT, line 20, or Form IT-203-ATT, line 19.
- Partnerships enter the amount and code 652 on Form IT-204, line 148.
- Fiduciaries include the amount on Form IT-205, line 12.
Common mistakes
- Leaving line A blank: The form states that all filers must complete it.
- Confusing an earned credit with a received share: Line A distinguishes those who earned the credit from partners, shareholders, or beneficiaries receiving a share.
- Submitting IT-652 without the accompanying return: The form says to submit it with Form IT-201, IT-203, IT-204, or IT-205.
Questions people ask
What credit rates does the 2024 form use?
Schedule A uses 50% for qualified childcare facility expenditures and 20% for qualified childcare resource and referral expenditures.
What limit appears on the form?
Schedule A, line 8, lists a $500,000 limitation. Line 9 is the lesser of that limit or the combined credit calculated on line 7.
Where do I report a share received from another entity?
Use Schedule B for a share of credit or recapture received from a partnership, New York S corporation, estate, or trust. Enter P for a partnership, S for an S corporation, or ET for an estate or trust.
How is New York recapture calculated in Schedule E?
Divide the federal recapture amount on New York property by the federal credit originally allowed on that property. Carry the result to four decimal places, then multiply it by the New York credit originally allowed.