MS SB2854

Creates an income tax credit for taxpayers equal to the full amount of child care expenses paid to prekindergarten providers participating in Mississippi's Early Learning Collaborative Act

Defines eligible children as those who will turn 4 years old by September 1 of the school year and have not yet entered kindergarten

Provides prekindergarten providers a tax credit of $1,500 multiplied by their average monthly enrollment of eligible children

Makes both tax credits fully refundable, meaning unused credit amounts will be refunded to taxpayers from current tax collections

Takes effect January 1, 2026