MS HB544

Authorizes a $750 non-refundable income tax credit for taxpayers with family income up to 400% of federal poverty level who pay child care expenses for dependent children under age 6 at qualified standard or comprehensive child care centers for at least 8 months per year, with refundability for taxpayers below 250% of federal poverty level.

Provides a refundable income tax credit for operators of qualified child care centers: $500 per average monthly child (capped at $15,000) for standard centers and $750 per average monthly child (capped at $20,000) for comprehensive centers.

Authorizes a refundable income tax credit of $750 for teachers or directors employed at standard child care centers and $1,000 for those at comprehensive child care centers, provided they work there for more than 9 months in the tax year.

Allows a non-refundable income tax credit for donations to qualified child care centers, limited to the lesser of the amount donated or $5,000, with ability to carry forward unused credits for 5 years.

Requires the Department of Revenue to implement and administer the credits through rules and regulations; effective January 1, 2025.