Child Care Availability and Affordability Act

This proposal aims to make child care more affordable by changing tax rules. It would expand the tax credit for employers that provide or help pay for child care. It would also expand the amount of dependent care help from an employer that workers can get without paying income tax. The bill adds a section focused on “expenses for household and dependent care services necessary for work,” highlighting support for families who need care so they can keep a job .

Key points

• Who is affected: Working families who need child or dependent care, and employers who offer child care support .
• What changes: Expands the employer child care tax credit and the tax-free employer benefit for dependent care; addresses out-of-pocket care costs needed to work (Sec. 36C) .
• When: The provided text does not state timing or start dates .