MO SB1678

Creates three new tax credits effective January 1, 2027: the Child Care Contribution Tax Credit (75% of contributions to child care providers, $100-$200,000 per year), the Employer Provided Child Care Assistance Tax Credit (30% of qualified child care expenditures, up to $200,000 per year), and the Child Care Providers Tax Credit (100% of employer withholding tax plus 30% of capital expenditures, up to $200,000 per year)

Caps total tax credits at $20 million per year for each of the three programs, with an additional 15% increase available if the cap is reached, reserved for child care providers in designated "child care deserts"

Defines "child care desert" as census tracts with at least 20% poverty rate or median family income below 80% of statewide average, where 500+ people or 33% of population are located at least one-half mile from a provider in urban areas or 10 miles in rural areas

Tax credits are non-refundable and non-transferable for most taxpayers, with unused credits carried forward up to six years; 501(c)(3) organizations may receive refunds regardless of tax liability

All three programs sunset six years after their effective date unless reauthorized by the General Assembly