Missouri Chamber applauds House passage of child care tax credits

JEFFERSON CITY, Mo. — The Missouri Chamber of Commerce and Industry praised House lawmakers on the passage of HB 2409, legislation that will increase access to safe, affordable, high-quality child care. The bill is sponsored by Rep. Brenda Shields (R-St. Joseph).

“This bill is a top priority of the business community,” said Kara Corches, president and CEO of the Missouri Chamber. “Missouri’s child care network is critical infrastructure, and we applaud Rep. Shields for sponsoring the bill. It’s time for Missouri to become a national leader in addressing this crisis.”

Child care is not just an issue for working parents; it’s an economic issue. According to a report from the U.S. Chamber of Commerce Foundation and the Missouri Chamber, Missouri misses out on an estimated $1.35 billion annually, including $280 million in lost tax revenue, due to child care issues. 

“This legislation will have the dual impact of expanding the capacity of child care providers and supporting businesses that want to help their employees,” Corches said.

The three elements of HB 2409 include:

• Child Care Contribution Tax Credit: 75% tax credit for businesses, charitable organizations and individuals on contributions to a licensed or registered child care provider.
• Employer-Provided Child Care Assistance Tax Credit: 30% tax credit on eligible child care expenditures for employers’ on-site or off-premises child care for employees.
• Child Care Providers Tax Credit: Credit for payroll tax withholdings for employees or eligible capital improvements to a child care facility.

HB 2409 now heads to the Senate for consideration.

The Missouri Chamber of Commerce and Industry is the largest business association in Missouri. Together with the Missouri Chamber Federation, the Missouri Chamber represents more than 75,000 employers. To learn more, go to www.mochamber.com, or follow us @MissouriChamber on Twitter.

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