PRINTER'S NO. 3915
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
2371
Session of
2015
INTRODUCED BY SCHLOSSBERG, HENNESSEY, BULLOCK, COOK-ARTIS,
DRISCOLL, FREEMAN, KINSEY, MACKENZIE, McNEILL, O'BRIEN,
SAVAGE, STURLA AND YOUNGBLOOD, SEPTEMBER 23, 2016
REFERRED TO COMMITTEE ON FINANCE, SEPTEMBER 23, 2016
AN ACT
Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
act relating to tax reform and State taxation by codifying
and enumerating certain subjects of taxation and imposing
taxes thereon; providing procedures for the payment,
collection, administration and enforcement thereof; providing
for tax credits in certain cases; conferring powers and
imposing duties upon the Department of Revenue, certain
employers, fiduciaries, individuals, persons, corporations
and other entities; prescribing crimes, offenses and
penalties," providing for caregiver tax credit.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The act of March 4, 1971 (P.L.6, No.2), known as
the Tax Reform Code of 1971, is amended by adding an article to
read:
ARTICLE XVIII-I
CAREGIVER TAX CREDIT
1801-I. Scope of article.
This article relates to caregiver tax credit.
1802-I. Definitions.
The following words and phrases when used in this article
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shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Credit." The caregiver tax credit provided for under this
article.
"Department." The Department of Human Services of the
Commonwealth.
"Taxpayer." An individual subject to payment of taxes under
Article III.
1803-I. Tax Credit.
(a) General rule.--For taxable years beginning on or after
January 1, 2017, a credit shall be allowed against a taxpayer's
aggregate tax liability under section 302 for taxpayers with an
adjusted gross income of less than $40,000. The amount of the
credit shall equal 50% of the Federal dependent care credit that
the taxpayer is eligible for in the taxable year under section
21 of the Internal Revenue Code of 1986 (Public Law 99-514, 26
U.S.C. ยง 1 et seq.).
(b) Exception.--The amount of the credit for a taxpayer with
an adjusted gross income of less than $20,000 shall equal the
Federal dependent care credit that the taxpayer is eligible for
in any case without regard to a limitation imposed under section
26 of the Internal Revenue Code of 1986.
1804-I. Application.
Eligible taxpayers must apply for the credit by submitting an
application to the department. The department shall issue a
certification for an approved application to the taxpayer. The
taxpayer shall attach the certification to the applicable income
tax return.
1805-I. Guidelines.
The department shall establish guidelines necessary to
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implement this article.
Section 2. This act shall take effect in 60 days.
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