Skip to content

Childcare Tax Credit

Childcare Tax Credit Blog

One issue that has lead many to put off re-entering the workforce from the pandemic fallout is the cost and difficulty in terms of finding affordable and quality childcare. The SBAC has determined it is such a significant issue that it has been added to our agenda for the 2022 Spring Session.

The childcare tax credit will provide working families resources to offset the costs associated with childcare. To be eligible, households must jointly earn an annual income below $75,000 and have at least one child under the age of 17.  Taxpayers that file individually must earn less than $45,000 and have one child under the age of 17.

Under this program, taxpayers shall receive a $1500 tax credit for the first child under age 17. An additional $500 will be allocated to each additional child under the age of 17 with a max payment of $2500 per family. This credit is intended to be used to offset the costs associated with childcare.

The program will be capped at $100,000,000 absent further appropriations.  This tax credit will sunset in 2025 unless extended by the legislature.

Program Details:

  • Tax credits for eligible working families to offset the costs of childcare
    • Eligible families must earn:
      • $75,000 or less filing jointly
      • $45,000 or less filing individually
    • Eligible families must also have at least one child under the age of 17
    • Tax credit of $1500 for the first child under age 17
      • $500 increase for each additional child under age 17
    • The maximum allowable tax credit per family is $2500
    • Program capped at $100,000,000
    • Program to sunset in 2025

Archives

SBAC Mentoring Program

By patti@sbacil.org | November 17, 2022

We are thrilled that one of our very own Mentees is the recipient of such an award! We are so proud of you Walter Mendenhall IV and wish you continued success!! #sbacempower #smallbuisness #sbacempowermentoring #MaleMogul And check out Walter’s Linked In Post: https://www.linkedin.com/feed/update/urn:li:activity:6999124047074648064 Learn more about the SBAC Empower Mentoring Program by clicking here. SPONSORS…

New SBAC Empower Educational Webinars

By patti@sbacil.org | November 16, 2022

SBAC Empower strives to provide up to date resources to assist in your small business growth. We are proud to announce new Educational Webinars viewable at your leisure focused on helping small businesses open brick-and-mortar establishments in underserved communities. These webinars review programming that pertains to navigating the process of zoning, licensing, and leasing space…

Daily Herald Business Ledger Articles with SBAC President Elliot Richardson

By sara@sbacil.org | November 14, 2022

Check out all of SBAC President Elliot Richardson’s Daily Herald Business Ledger articles below 2022 2021 2020 2022 November 13, 2022 Swift action needed to restore confidence in our government October 16, 2022 Advocating during the fall legislative session September 18, 2022 Policymakers should prioritize established and new small business August 21, 2022 Defining Small…

Scroll To Top