Child Care Business Tax Credit

Expanded eligibility to include off-site qualified child care facilities and contracts with intermediate entities, allowing employers to claim credits for third-party child care services.

Repealed the requirement that an employer must have claimed a tax credit for construction expenditures to be eligible for the child care expenditure credit.

Requires the Governor's Office of Economic Opportunity to develop and maintain a public webpage providing information, filing instructions, and resources for the tax credit.

Increased the nonrefundable tax credit percentage for eligible small businesses from 10% to 30% of qualified child care expenditures.

Added new definitions for 'off-site qualified child care facility' and 'third party provider' to clarify eligibility.

Added definitions for 'eligible small business' and 'off-site qualified child care facility' to clarify who and what qualifies for the credit.

Added a definition for 'third party provider' to specify which external providers can be contracted with without reducing existing services.

Updated the definition of 'qualified child care expenditure' to explicitly include costs for operating on-site facilities and contracting for off-site services.

Expanded eligibility to include off-site child care facilities and contracts with intermediate entities, removing the previous restriction to on-site facilities only.

Clarified that employers cannot receive the tax credit if they charge employees or deduct pay for child care services at any qualified facility.

Removed the requirement that an employer must have previously claimed a tax credit for construction expenditures to be eligible for the child care expenditure credit.

Expanded the definition of eligible child care facilities to include 'off-site qualified child care facilities' that an employer does not own or manage, in addition to on-site facilities.

Added a disqualifying condition where an employer cannot receive the tax credit if they charge employees or deduct pay from their wages to cover child care services.

Increased the nonrefundable tax credit percentage for eligible small businesses from a lower rate to 30% of qualified expenditures, while maintaining a 10% rate for non-small businesses.

Requires the Governor's Office of Economic Opportunity to create and maintain a public webpage providing resources, filing instructions, and examples for employers claiming these tax credits.

Clarified the 'recapture event' rules, requiring employers to repay a percentage of the tax credit if they fail to operate a child care facility for at least five consecutive years after first claiming the credit.

Added specific provisions allowing employers to claim credit costs related to training employees and providing increased compensation for higher levels of child care training.

Added eligibility for 'off-site qualified child care facilities,' allowing employers to claim tax credits for contracts with third-party providers instead of only owning facilities.

Added a new eligibility requirement stating that employers cannot charge employees or deduct funds from employee wages to receive the tax credit.

Created new definitions for 'off-site qualified child care facility' and 'on-site qualified child care facility' to distinguish between owned and contracted care.

Modified the recapture event definition to specify that the failure to operate a child care facility must apply to 'on-site' facilities, clarifying the conditions under which credits must be repaid.