Finally… after 4 years, Israeli court ruled the other day that working women will be allowed to recognize childcare costs as an expense, taking a tax deduction. The logic is quite simple. According to the tax laws, expenses required in order to directly generate income, are recognized for tax purposes. In my family (just like many others), we have a nanny. There is no way on this planet that we would survive a 2–career family without this essential expense. Either my husband or I would have to stay home to take care of the kids, and of course generate no income. Hence the income-related expense.
Simple to me, not to the tax authorities… of course, they will appeal to the higher court. Stay tuned.
(Note the image…Rosie the Riveter, Poster for Working Women During WWII)
I'm looking forward to the day.I have the similar situation as you.
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