Signed by Governor Brian Kemp

Vote Smart's Synopsis:

Vote to concur with Senate amendments and further amend a bill that expands Georgia's child care tax credit to allow parents to claim 50% of their expenses for child care, up from 30%, and a $250 rebate for each child under 6 years old.

Highlights:

• Increases the tax credit for qualified child and dependent care expenses from 30% to 50% (Sec. 1-1).

• Establishes a $250 tax credit for each qualifying child beginning in the tax year 2026 (Sec. 1-2).

• Specifies that a “qualifying child” must be under the age of 6 (Sec. 1-2).

• Specifies that any tax credit for a qualifying child may only apply to one parent or legal guardian (Sec. 1-2).

• Authorizes employers who provide payments for employee child care to claim credits of $500 per child for which payments are made per year, and $1,000 per child for which payments are made if it is the first year in which the payments are made (Sec. 1-3).

• Increases monthly direct cash payments for personal necessities of aging foster children or justice-involved youth from $150 to $200 (Sec. 2-1).

• Increases the maximum aggregate tax credits allowed under this Code from $20,000,000 to $30 million per calendar year beginning with 2026 (Sec. 2-1).

Full Bill Text