Income taxation: credits: dependent care.

The Personal Income Tax Law and the Corporation Tax Law allow various credits against the taxes imposed by those laws. This bill, under both laws, for taxable years beginning on or after January 1, 2023, and before January 1, 2028, would allow a credit against those taxes for contributions paid or incurred by a taxpayer for qualified care or backup care for dependents, as specified, of the taxpayer's employees, in an amount equal to 25% of the contributions, or 30% for a small employer taxpayer, as provided, not to exceed $250,000 per taxable year. Existing law requires any bill authorizing a new tax credit to contain, among other things, specific goals, purposes, and objectives that the tax credit will achieve, detailed performance indicators, and data collection requirements. The bill also would include additional information required for any bill authorizing a new tax credit. This bill would take effect immediately as a tax levy.