Bill > HB1433

This bill establishes a new tax credit program, the "Child Day Care Creation Tax Credit," aimed at incentivizing businesses to increase the availability of child care in New Hampshire, addressing a noted shortage that hinders parents' ability to work. Qualifying businesses can receive a tax credit equal to 50 percent of their expenditures related to acquiring, constructing, rehabilitating, renovating, or expanding property for child care, as well as operational expenditures for the first two years of a new facility or for increased operations in existing ones. This credit can be applied against business profits taxes (RSA 77-A) and business enterprise taxes (RSA 77-E), with unused portions allowed to be carried forward for four years. To be eligible, businesses must create or expand child care seats, defined as making new child care spots available, on or after January 1, 2027, and apply to the Department of Revenue Administration, which will administer the program and has a cap of $5 million in total credits issued per state fiscal year. The bill also specifies that this credit applies to taxable periods ending on or after December 31, 2027, and takes effect on July 1, 2026.