HB 1985 Summary

• Authorizes a $500 annual income tax credit and ad valorem tax credit for taxpayers with each dependent child residing with both parents who are legally married to one another.

• Limits aggregate child tax credits to $1,000,000 per calendar year, with applications processed by the Department of Revenue within 30 days.

• Allows use of child tax credit against ad valorem taxes on real property, with tax collectors forwarding documentation to the Department of Revenue for reimbursement from current tax collections.

• Brings forward and reauthorizes multiple existing tax credit provisions covering business investments, job creation, historic preservation, charitable contributions, and economic development projects.

• Effective January 1, 2024 for the child tax credit provisions; July 1, 2024 for remaining provisions.