A Federal Bill to Increase Child Care Tax Credits

The Family Tax Relief Act of 2009 (S.997) was recently introduced into the US Senate by co-sponsors Blanche Lincoln (D-AR) and Olympia Snowe (R-ME). The bill has since been referred to the Senate Committee on Finance. The proposed legislation would more than double the amount of child care expenses that families can claim as tax deductions. At present, families can only claim up to $3,000 per year for child care expenses on their taxes- an amount that is much lower than what families actually pay each year. These deductions would also become refundable so that low to moderate income families can fully benefit. This bill responds to the rising costs of child care in every state and provides some support for families, especially during difficult financial times. You can read the full text of the bill here. If you support the bill, you can send a letter asking your Senators to co-sponsor it here.

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