Provides affordable and accessible dependent care options for working families by including qualified in-home and backup care expenditures paid or incurred with respect to the taxpayer's employees working in the state in the employer- provided child care credit criteria; makes technical corrections to make such credit independent of the federal employer-provided child care credit.
Summary
Bill S01143 amends the New York tax law to enhance the employer-provided child care credit by including qualified in-home care and backup care expenditures as eligible expenses. The bill aims to provide affordable and accessible dependent care options for working families by expanding the criteria for tax credits available to employers who support their employees with child care services. The credit will cover 50% of qualified child care expenditures and 20% of qualified child care resource and referral expenditures, with a maximum credit cap of $500,000 per taxable year for entities like partnerships or S corporations.
Impact
The bill's passage will significantly impact state tax laws by broadening the scope of the employer-provided child care credit, allowing more employers to claim credits for a wider range of child care-related expenses. This change is expected to encourage businesses to invest in child care solutions for their employees, potentially leading to increased workforce participation among parents. Additionally, the bill makes technical corrections to ensure that the state credit operates independently of the federal employer-provided child care credit, which may streamline the claiming process for businesses.
Sentiment
The sentiment surrounding Bill S01143 appears to be generally positive, with discussions highlighting the importance of supporting working families through enhanced child care options. However, the absence of voting history and committee discussions makes it difficult to gauge any significant opposition or concerns raised during the legislative process.
Contention
While the overall sentiment is positive, there may be concerns regarding the financial implications for the state budget due to the expanded tax credits. Some lawmakers may question the sustainability of funding these credits, especially in light of potential economic fluctuations. Additionally, there could be discussions about the effectiveness of the credit in actually increasing access to child care services for employees, particularly in rural or underserved areas.
Same As
Provides affordable and accessible dependent care options for working families by including qualified in-home and backup care expenditures paid or incurred with respect to the taxpayer's employees working in the state in the employer provided child care credit criteria; makes technical corrections to make such credit independent of the federal employer-provided child care credit.
Provides affordable and accessible dependent care options for working families by including qualified in-home and backup care expenditures paid or incurred with respect to the taxpayer's employees working in the state in the employer provided child care credit criteria; makes technical corrections to make such credit independent of the federal employer-provided child care credit.
Provides affordable and accessible dependent care options for working families by including qualified in-home and backup care expenditures paid or incurred with respect to the taxpayer's employees working in the state in the employer provided child care credit criteria; makes technical corrections to make such credit independent of the federal employer-provided child care credit.
Provides affordable and accessible dependent care options for working families by including qualified in-home and backup care expenditures paid or incurred with respect to the taxpayer's employees working in the state in the employer provided child care credit criteria; makes technical corrections to make such credit independent of the federal employer-provided child care credit.
Authorizes the "Child Care Contribution Tax Credit Act", the "Employer-Provided Child Care Assistance Tax Credit Act", and the "Child Care Providers Tax Credit", relating to tax credits for child care