Ranbir Singh and Balvinder Kaur - Page 4




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          $13,000 to $15,000 on expenses incurred by Jagdish for travel and           
          while in the United States.                                                 
               Petitioners filed a joint Federal income tax return for each           
          of the years 1996 and 1997.  In each year, petitioners claimed a            
          child care credit in the amount of $960 for expenses of $4,980              
          related to care allegedly provided by Caclia G. Bravo.                      
          Respondent disallowed the credit in each year and disallowed a              
          dependency exemption deduction which petitioners claimed in 1997            
          for Heche.                                                                  
               The first issue for decision is whether petitioners are                
          entitled to a section 21 child care credit for each of the years            
          in issue.  Subject to requirements not applicable here, a                   
          taxpayer is entitled to a credit under section 21(a)(1) in an               
          amount equal to a portion of certain child care and related                 
          expenses paid during the taxable year.                                      
               Petitioners argue that the expenses they incurred in                   
          connection with Jagdish are child care expenses which fall under            
          section 21.  Petitioners did not identify Caclia G. Bravo or                
          otherwise explain why the care provider listed on the return is a           
          person other than Jagdish, but respondent stated that petitioners           
          claim to have used this person’s name, address, and Social                  
          Security number because they did not have a Social Security                 
          number for Jagdish.                                                         








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