House Bill 23-1091 Summary

• Extends the child care contribution income tax credit from January 1, 2025 to January 1, 2028, allowing taxpayers a 50% credit for monetary donations that promote child care in Colorado.

• Requires the Department of Revenue to collect specific data on credits claimed starting in 2024, including contribution amount, recipient, type of contribution, facility type, and location county.

• Directs the Department of Revenue to consult with early childhood agencies and develop recommendations by July 31, 2024 for improving the credit, including allowing in-kind real property donations and ensuring equitable promotion across communities.

• Requires the State Auditor to prepare a tax expenditure evaluation report by September 15, 2026 assessing the credit's effectiveness in encouraging child care donations.

• Appropriates $78,254 to the Department of Revenue for the 2023-24 fiscal year to implement the credit administration and IT system support.