OH HB167

Employers may claim a nonrefundable tax credit of up to $500,000 annually for child care expenditures, including qualified child care facilities and direct payments to employees for licensed child care programs

Credit applies against multiple Ohio taxes: commercial activity tax, financial institutions tax, insurance company taxes, public utility excise taxes, severance tax, and individual income tax

Employers must apply to the Ohio Tax Commissioner by January 15th each year for expenses incurred in the preceding calendar year, with applications processed in the order received

Unused credits may be carried forward for up to 5 years for most taxes, or up to 19 tax periods for the commercial activity tax

Eligible expenses include amounts qualifying under IRC Section 45F (employer-provided child care credit) and employer payments to employees for child care at licensed Ohio child care programs