Early Childhood Workforce Tax Credit Toolkit
Pathways to High-Quality Child Care: The Workforce Investment Credit
Enacted: (Louisiana and Nebraska)
Note: Colorado also enacted a bill, but further legislation is needed in 2020 in order for the measure to be implemented.
Louisiana ECE Workforce Refundable Tax Credit Background
(a component of Louisiana's School Readiness Tax Credit Package)
Louisiana child care directors and eligible staff can receive a refundable tax credit if they work at least six months for a licensed child care facility that participates in the state's quality rating system and are enrolled in the Louisiana Pathways Child Care Career Development System.
The refundable tax credit is based on achieved educational levels (it is an earned credit) and is adjusted annually for inflation.
State Early Educator Tax Credit
State Early Educator Tax Credit Legislation Considered in 2019
State Legislative Language & Fiscal Notes
- Arkansas: Senate Bill 618 by Sen. James Sturch; amendment to reduce credit amounts; Fiscal note (March 2019)
- Colorado: HB19-1005, Early Educator Tax Credit by Reps. Buckner and Wilson and Senators Priola and Todd (signed into law 5/13/19); Fiscal note (April 2019). Final fiscal note (September 2019)
- Connecticut: HB 5592, a refundable tax credit for early childhood teachers with an A.A. or B.A. by Rep. Cook
- Illinois: HB 2959, a broad refundable credit including a credit for the early educator workforce by Rep. Buckner
- Massachusetts: HB 2620, Early Educator Tax Credit by Rep. Ryan
- Minnesota: SF 1110, Child Care Workforce, Supply, and Quality Credit by Senators Anderson, Franzen, Nelson, and Lang, Wiklund, Senate revenue estimate (February 2019); HF 1034, Workforce, Supply, and Quality Credit by Reps. Pryor, Poppe, Davids, Erickson, and Koegel, House revenue estimate (February 2019).
- Mississippi: HB53, Miscellaneous tax credits including an early educator workforce credit by Reps. Dortch and Faulkner
- Nebraska: LB266, technical amendment to the School Readiness Tax Credit Act by Senator Lindstrom. (pending for January 2020 consideration), Fiscal note for LB266 (January 2019)
- Virginia: (2018) -- HB700, School Readiness Tax Credits by Rep. Delaney, Fiscal impact statement (January 2018)
Tax Credit Toolbox: Advocacy Tools
You Can Use
Advocacy at Work: Sample Documents
Alliance for Early Success Partner Reports Related to Workforce Tax Credits
Sample ECE Workforce
Surveys and Reports