HB 2142

Abstract

Child care tax credit. Establishes an individual nonrefundable income tax credit for taxable years 2020 and 2021 ofup to $1,000 per taxable year for eligible child care expenses incurredand paid between September 1, 2020, and July 1, 2021, due to theclosure of Virginia child care facilities or primary or secondaryschools as a result of the COVID-19 pandemic. If the amount of thecredit exceeds the taxpayer's tax liability for the taxable yearin which the child care expenses were incurred and paid, such excessmay be carried over for five years. The taxpayer must verify their eligible child-care expenses when claiming the credit in each taxableyear pursuant to guidelines promulgated by the Department of Taxation.