CT HB07240

Creates a $500 personal income tax credit for owners of licensed family child care homes in Connecticut, effective for tax years beginning January 1, 2026

Requires the child care home to be licensed under section 19a-87b and meet the definition in section 19a-77 of Connecticut general statutes

Allows shareholders of S corporations and partners in partnerships to claim the credit; single-member LLC owners may also claim it if subject to personal income tax

Makes the credit fully refundable—if the credit exceeds the taxpayer's tax liability, the excess is refunded without interest