Bill > HB1076

This bill creates the Caring for Caregivers Act, which establishes a new income tax credit for family members providing care to elderly or dependent relatives. The bill defines specific terms such as "activities of daily living" (including mobility, feeding, dressing, personal hygiene, continence, and toileting), and establishes eligibility criteria for both the caregiver and the care recipient. To qualify, the care recipient must be at least 62 years old, require assistance with at least two activities of daily living, be a dependent or relative, and live in a private home. The caregiver must have a total adjusted gross income under $50,000 and have personally incurred uncompensated expenses for the care. The tax credit will cover 50% of eligible expenditures, with a maximum credit of $2,000 for most care recipients and $3,000 for veterans or those with a dementia diagnosis. Eligible expenses include home modifications, medical equipment, home care aides, respite care, and assistive technology. The bill limits the total annual tax credits to $1.5 million and will be available for tax years beginning on or after January 1, 2025, providing financial support for families caring for elderly or dependent relatives.

Budget and Finance

https://arkleg.state.ar.us/Bills/Detail?id=hb1076&ddBienniumSession=2025%2F2025R