HB 1329 Summary: Child Care Tax Credit

• Authorizes corporate income tax credits for three categories of child care costs: 50% of startup costs to establish a facility, $100 per child enrolled per month in operating costs, and 50% of payments made to third-party facilities.

• Requires child care facilities established by corporations to be available to all employees' children on a first-come, first-served basis and to comply with state licensure requirements under section 402.305.

• Limits individual corporation credits to $100,000 per taxable year and caps total statewide credits at $2 million per fiscal year.

• Allows corporations to carry forward unused credits for up to 5 years and requires pro-rata repayment of startup cost credits if facilities cease operation before 5 years, unless the corporation goes out of business or employees no longer want the facility.

• Expires June 30, 2027, except for administration provisions, with an effective date of July 1, 2017.