Understanding Your Relevé 24 (RL-24) Slip: All You Need to Know

What is a RL-24?

The Relevé 24 (RL-24) slip allows you to claim child-care expenses on your taxes in Quebec. It's issued by your child-care provider and displays how much you spent on child care during the year.

With this slip, you can claim the Quebec tax credit for child-care expenses, which helps to subsidize the cost of services such as daycare, day camps, and nursery schools.

For example, if you paid a total of $7,000 to send your child to a Quebec daycare and a day camp, you could claim a portion of that to reduce the amount of taxes you owe. If your child is 7 or older on December 31 but under 16 and doesn't have any physical or mental impairments, you could claim up to $6,010. Overall, it's a good way to save money during tax season.

Who should report RL-24 income?

The RL-24 slip should be reported by the parent or guardian who paid for the child-care services. Typically, the higher-income earner in the household claims the Quebec tax credit for child-care expenses because it reduces the family's overall taxes. However, you and your spouse can split the expenses.

Here are the criteria to qualify for the Quebec daycare tax credit:

• Your child-care provider must be eligible (such as licenced daycares, nursery schools, and some day camps).
• If the provider isn't required to issue an RL-24 slip, make sure you keep their receipts. For example, a babysitter under the age of 18 and doesn't have a permit from the Ministère de la Famille or isn't recognized by a home child-care coordinating office, they aren't required to issue an RL-24 slip.
• The expenses must be for caring for your child while you're working, running a business, studying in school, or actively searching for a job.

For example, if one parent works full-time and the other is in school, you could allocate the child-care expenses to the one with a higher income to maximize the tax benefit. Or, if both parents have contributed to child-care costs, you'll need to decide who will report the expenses.

Additionally, Revenu Québec has clear rules on how much you can claim. For example, the total claim can't exceed the child-care expense limit (which varies based on age and status). For instance, the childcare expense limit varies depending on the age and status of your child, but ranges from $6,010 to $16,335.

Qualifying and non-qualifying child-care expenses

It's important to know that not all child-care expenses are created equal. Here's an overview of what you can and cannot claim as child-care expenses in Quebec:

Eligible child-care expenses

Child-care expenses qualifying for the tax credit include fees or payments for:

• Daycare centres or home child-care providers without subsidized spaces.
• Subsidized providers that are open during holidays.
• Preschool education centres, nursery schools, or workshops for preschoolers.
• Kindergarten, combined daycare, municipal recreation programs, day camps, and overtime care.
• Babysitters (excluding family members). For example, if you hired a babysitter, their receipt can still be used for your claim.
• Boarding school or camp fees.
• Meals included in daycare or camp fees.

Non-eligible expenses

While there are many expenses you can claim, the following aren't eligible for the tax credit:

• Government-set reduced contributions for daycare or school services.
• Payments to the child's parents or someone in a marital relationship with you.
• Clothing expenses.
• Personal expenses.
• Medical expenses.
• Child-care expenses claimed by someone else.
• Registration fees for municipal activities or courses during the school year.
• Reimbursed expenses or those covered by financial assistance.
• After-school activity or homework help fees.
• Child-care expenses for solely personal reasons. (But, if you're working, in school, or looking for a job, these are legit reasons to claim these expenses).

For example, if your child attended a summer day camp primarily for child care, those fees are eligible for the Quebec daycare subsidy. However, hiring a tutor to help teach algebra to your daughter doesn't qualify.

How do you report your RL-24?

Reporting your RL-24 slip is easier than you may think. When you file through TurboTax, it will ask you to input information about your dependants. Also, you'll have the option to file jointly with a spouse.

Then, you'll be asked if you have child-care expenses that you wish to report, as well as details of your circumstances (if you were employed or in school).

For Quebec residents, you'll enter your expense details in the child-care section and have the opportunity to report your RL-24 slip.

How do you fill out the Schedule C form?

You'll need to complete Schedule C - Tax Credit for Childcare Expenses as part of the TP-1-V income tax return. Here are the steps to claim the tax credit when filing your income tax return.

1. Check the box(es) that apply to your situation. For example, if you're employed, own a business, or attend school.
2. Section A
   Part 1: Write down the name of each child, their relationship to you, and their net income.
   Part 2: Record the child's first name, date of birth, child-care expenses you paid (from box E of the RL-24 slip), and the ID or Social Insurance Number (SIN) of the provider. Repeat for each child. Enter any applicable allowance or reimbursements. Then, total up the expenses.
3. Section B
   Here, you'll calculate the child-care expense limit based on specific criteria.
4. Section C
   This is where you'll determine your family income.
5. Section D
   Calculate the tax credit.

The Quebec tax credit for child-care expenses you receive will be the lesser of:

• Your qualifying child-care expenses for the year (Section A - line 41)
• Or, the child-care expense limit (Section B - line 50)

Based on your family income for the year, it'll determine your tax credit rate (which ranges from 67% to 78%). This calculates the tax credit you can claim on your tax return.

For example, your child-care expenses come to $2,000, and your family income is $60,000. Based on this income, that means your tax credit is 70%. The tax credit would be $1,400 ($2,000 x 0.7 = $1,400). If your spouse claims half of that amount ($700), you could claim $700 ($1,400 - $700 = $700) on your tax return.

Remember, you don't need to send your Relevé 24 slips or receipts to Revenu Québec. But hold onto them in case they ask to see them.

If you need assistance with this process, Revenu Québec has informational guides, or you can ask a tax professional or a TurboTax expert for guidance.

What to do if you haven't received your RL-24 slip

There may be instances where your child-care providers don't issue you the RL-24 slips. If you did not receive a Relevé 24, here are a few things you can do:

1. Contact your child-care provider. Follow up and ask them to issue you a receipt. The majority of child-care service providers are responsible for doing so. Your daycare may have forgotten to complete these slips and need a gentle reminder.
2. Collect receipts. There may be exceptions where the child-care provider isn't required to give you an RL-24 slip for the child-care expenses you've paid. If that's the case, get a receipt with their name, signature, address, SIN, and relationship to you (if applicable).
3. Contact Revenu Québec. Its support team can answer your questions and guide you on what's required to claim your tax credit without the slip.

Easily navigate your Relevé (RL-24) tax slips with TurboTax!

Do your taxes on your own or with a helping hand—we're here to aid you in making the most of your child-care deductions.

Get Started