Bill > HR3155

This bill enhances the employer-provided child care credit under Section 45F of the Internal Revenue Code by increasing the credit percentage and establishing new provisions for different types of businesses and locations. Specifically, the bill raises the credit percentage from 25% to 40% for most businesses, with higher rates of 50% for eligible small businesses (defined as those with 500 or fewer employees) and 60% for businesses providing child care in certain eligible areas like low-income census tracts or rural counties. The bill also increases the total credit limitation to $1,200,000 per taxable year and sets a maximum of $2,000,000 in qualified child care expenditures that can be claimed. Additionally, the bill requires the Treasury Secretary to establish a public awareness program to inform taxpayers about the child care credit and directs the Government Accountability Office (GAO) to conduct a comprehensive study on regulatory barriers affecting employer-provided child care, including recommendations for reducing operational challenges and improving regulatory frameworks across different states. The provisions would apply to taxable years beginning after the date of the Act's enactment, with the goal of making child care more accessible and affordable for working families by providing stronger incentives for employers to invest in child care facilities and support.

Budget and Finance

https://www.congress.gov/bill/119th-congress/house-bill/3155/all-info