Bill > SB467

This bill creates a tax credit for child care workers in Oregon, specifically for individuals working at certified, registered, or subsidized child care facilities. The tax credit allows workers to claim 5% of their income earned in child care, with a maximum credit of $2,000, which can be claimed on their 2026 personal income tax return. If the credit amount exceeds the taxpayer's tax liability, the excess will be refunded. Additionally, the bill provides an innovative option for these child care workers to directly deposit their tax refund into the Oregon Retirement Savings Plan (ORSP), with some specific rules: the minimum contribution is $25, the election cannot be changed once made, and the contribution is only valid if the refund is sufficient after accounting for other potential offsets or designated contributions. The bill aims to support child care workers by offering a financial incentive and an opportunity to save for retirement, and it will take effect 91 days after the 2025 legislative session adjourns. The tax credit is part of ORS chapter 315, and the retirement plan contribution mechanism is part of ORS chapter 305.

Budget and Finance

https://olis.oregonlegislature.gov/liz/2025R1/Measures/Overview/SB467