MS HB257

Creates a $750 income tax credit per dependent child (under age 6) for parents who pay for child care at state-certified standard or comprehensive child care centers, available to families earning up to 400% of the federal poverty level, with the credit being refundable for those below 250% of poverty level

Provides refundable tax credits to qualified child care centers: up to $15,000 for standard centers ($500 per child) and up to $20,000 for comprehensive centers ($750 per child), based on average monthly attendance

Grants refundable tax credits of $750 to teachers and directors at standard child care centers and $1,000 to those at comprehensive centers, requiring at least 9 months of employment during the tax year

Allows donors to qualified child care centers a tax credit equal to their donation amount, capped at $5,000, with unused credits carried forward for up to 5 consecutive years

Takes effect January 1, 2026, with the Department of Revenue authorized to implement and administer the program