An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in employer child care contribution tax credit, further providing for definitions and for employer child care contribution tax credit.

Summary

The bill raises the amount employers can count toward the child‑care contribution tax credit from $500 to $10,000 per employee and changes the credit rate from 30% to 100% of that amount for tax years beginning in 2026. A $10 million annual cap on total credits remains, with a proration formula if applications exceed the cap. It applies to qualifying employers who make child‑care contributions for their employees.

AI-generated summary — may be incomplete or inaccurate. Verify against the official bill text.

Topics

Share