Bills · HR 1827
IN COMMITTEE· 119TH CONGRESS
House BillHR 1827Taxation
Child Care Availability and Affordability Act
INTRO MAR 4· LAST ACTION MAR 4
READING
11MIN
COSPONSORS
27BIPARTISAN
READER REACTIONS0 TOTAL
NO VOTES YET · BE THE FIRST
- Introduced only
LEGISLATIVE PROGRESS
STEP 2 / 8Introduced
In Committee
Reported
Passed House
Passed Senate
Conference
To President
Became Law
WHAT THE BILL DOES
AI-writtenVoters should care about this bill because it directly addresses the significant financial burden of childcare, a major concern for many American families. High childcare costs often force parents, particularly mothers, to reduce work hours or leave the workforce entirely, impacting family income and the economy.
If this bill becomes law, it could encourage more employers to provide childcare options or assistance, making it easier for employees to manage work and family responsibilities. The expanded tax credits for individuals, especially the new refundable credit, could put more money directly back into the pockets of families, helping them afford quality care, cover other essential expenses, and potentially increase their participation in the workforce. If it doesn't become law, families and businesses will continue to face the current level of childcare costs and existing, less generous, tax incentives.
KEY PROVISIONS
5AI-extractedPROVISION 01
Increases the employer-provided child care credit from 25% to 50% of qualified expenditures and raises the maximum credit from $150,000 to $500,000.
This makes it significantly more attractive and affordable for businesses to establish or support employee childcare facilities and programs.
PROVISION 02
Creates special, higher incentives for small businesses, allowing them to claim a 60% credit rate with a maximum credit of $600,000.
This specifically targets smaller companies that might otherwise struggle to afford comprehensive childcare benefits for their employees.
PROVISION 03
Increases the maximum amount employees can exclude from their income for dependent care assistance programs from $5,000 to $7,500 (or $2,500 to $3,750 for married filing separately).
This allows employees to save more money pre-tax for childcare expenses, reducing their taxable income.
PROVISION 04
Establishes a new, refundable household and dependent care tax credit with higher expense limits ($5,000 for one qualifying individual, $8,000 for two or more).
This ensures even low-income families with little or no tax liability can benefit from the credit, providing direct financial relief for childcare costs.
PROVISION 05
Modifies the credit's 'applicable percentage' for individuals, starting at 50% and phasing down based on adjusted gross income.
This provides greater financial relief to a broader range of families, with the most benefit going to those with lower incomes.
SPONSORSHIP
1 + 27
D· California
YRS IN OFFICE
9
BILLS LED
37
COSPONSOR BREAKDOWNBIPARTISAN · 59%
DEM 19 REP 8 IND 0
ACTION TIMELINE
2 EVENTSMAR 4
Introduced in House
MAR 4
Referred to the House Committee on Ways and Means.
BILL INFO
TypeHouse Bill
NumberHR 1827
Congress119th
StatusIn Committee
IntroducedMar 4, 2025
Last actionMar 4, 2025
READER REACTIONS
OVERALL SENTIMENT
No reactions yet. Be the first to weigh in.
Discussion
Loading comments...
IN COMMITTEE· 119TH CONGRESS · WAYS AND MEANS COMMITTEE · INTRODUCED MAR 4, 2025
House BillHR 1827Taxation
Child Care Availability and Affordability Act
INTRODUCED MAR 4, 2025· LAST ACTION MAR 4, 2025
PASSAGE CHANCES
—%
READING
11 min
COSPONSORS
27
COMPLEXITY
Moderate
