MS SB2898

Authorizes an income tax credit for taxpayers equal to the full amount of child care expenses paid to prekindergarten providers participating in the voluntary prekindergarten program established under Section 37-21-51(3).

Defines "prekindergarten provider" as public, private, or parochial schools, licensed child care centers, or Head Start centers serving four-year-old children participating in the voluntary prekindergarten program.

Authorizes a tax credit for prekindergarten providers of $1,500 multiplied by the average monthly number of children attending their prekindergarten program.

Allows unused tax credits to be carried forward and refunded to taxpayers as overpayments of taxes from current collections.

Effective date: January 1, 2023.