Bill > HB157

This bill establishes a new eligible caregiver credit for Kentucky taxpayers, allowing them to claim a nonrefundable credit against their state income tax for certain unreimbursed expenses incurred while providing in-home care for an eligible family member. An eligible family member is defined as someone 62 or older who requires assistance with at least two activities of daily living, such as bathing or dressing, and is being cared for by a relative. Eligible expenses can include hiring home care aides, respite care, adult day care, personal care attendants, health care equipment, home modifications, technology, or leasing medical equipment. The credit is equal to 50% of eligible expenses, with a maximum of $3,000 for veterans or those with dementia, and $2,000 for other eligible family members, provided the caregiver's modified gross income does not exceed $100,000 annually. The bill also sets an annual cap of $1.5 million for the total credits claimed, with a pro-rata distribution if the cap is exceeded, and requires an application process for approval. Furthermore, it amends existing law to specify that this eligible caregiver credit will be applied after most business incentive credits but before personal tax credits, and it allows the Department of Revenue to report on the credit's usage to the Legislative Research Commission for evaluation.

Budget and Finance

https://apps.legislature.ky.gov/record/26RS/hb157.html