House Status:
Senate Status:
Senate Status:
Minutes for HB2399 - Committee on Taxation
Short Title
Providing a tax credit for certain child and dependent care expenses.
Minutes Content for Mon, Apr 3, 2017
Scott Wells, Assistant Revisor provided an overview on HB2399 noting the bill would bring back the household and dependent care expense credit for tax year 2017 and beyond. The credit would be equal to 25% of the amount allowed at the federal level for expenses. The credit would be nonrefundable.
In response to a question from Representative Smith, Mr. Wells stated the nonrefundable tax credit is a dollar-for-dollar offset of the actual tax liability. Some credits are refundable in that if there is a $300 credit and a $200. tax liability, the $300. credit will wipe out the tax liability and the State will send a check for the remaining $100. Nonrefundable credits may reduce tax liability to $0. Unused credits, depending upon how the law is written, could be applied in future tax years.
Kathleen Smith, Department of Revenue HB2399 stated the fiscal effect would be approximately $9M.
Representative John Wilson, 10th District testified as a proponent for HB2399 noting married couples pay 14% of their income for child care and single mothers pay approximately 47%. This bill would make child care more affordable for Kansas families. (Attachment 1)
Representative Wilson stood for questions from the Committee.
Amanda Gress, Kansas Action for Children testified as neutral to HB2399 noting her organization supports restoring important credits and deductions for Kansas families. Child care is an expensive necessity for Kansas families. (Attachment 2)
Ms. Gress stood for questions from the Committee.
Chairperson Johnson closed the hearing on HB2399.
