Increasing access to affordable child care is a huge piece of the workforce puzzle.
JEFFERSON CITY (Feb. 8, 2024) – Following the House’s passage of HB 1488, a bill that will help parents find affordable child care and enter the job market, NFIB State Director Brad Jones called on state lawmakers in the Senate to stand up for small business owners and support the measure.
“The workforce shortage is a complex challenge for our small business owners. Roughly 40 percent of small businesses have an open position that they cannot fill. Increasing access to affordable child care is a huge piece of the workforce puzzle. Bolstering our state’s workforce is a major priority for Main Street. We thank the House for advancing this important bill and ask the Senate to swiftly take up and support the measure.”
According to a recent NFIB jobs report, 39 percent of all owners reported job openings they could not fill in the current period. A seasonally adjusted net 14 percent of small business owners plan to create new jobs in the next three months, the lowest level since May 2020. CLICK HERE to view the full report.
HB 1488 aims to help parents find affordable child care and enter the job market by creating a few new tax credits:
- Child Care Contribution Tax Credit – This tax credit for parents as proposed in the bill would be equal to 75% of the cost of payments made to a childcare provider.
- Employer Provided Child Care Assistance Tax Credit – This tax credit for employers with two or more employees is equal to 30% of child care expenditures paid to cover employee childcare costs, up to $200,000.
- Child Care Providers Tax Credit – This tax credit for child care providers with three or more employees amount to the child care provider’s eligible employer withholding tax, and may also claim a tax credit in an amount up to 30% of the child care provider’s capital expenditures.