I 
119TH CONGRESS 
1ST SESSION H. R. 1296 
To amend the Internal Revenue Code of 1986 to establish a refundable 
credit for qualified child care startup expenses. 
IN THE HOUSE OF REPRESENTATIVES 
FEBRUARY 13, 2025 
Mr. CONAWAY (for himself, Mrs. FOUSHEE, Ms. BARRAGA´N, Ms. SA´NCHEZ, 
Ms. PRESSLEY, Ms. CHU, Ms. TITUS, Ms. NORTON, Ms. ROSS, Ms. 
BROWNLEY, Mr. TAKANO, Mr. FROST, Mr. CASTEN, Mrs. WATSON COLE-
MAN, Mrs. RAMIREZ, Ms. PEREZ, Ms. GARCIA of Texas, Mr. CARSON, Mr. 
CARBAJAL, Mr. GARCIA of California, Mrs. HAYES, Mr. PETERS, Ms. 
TOKUDA, Mr. JOHNSON of Georgia, Ms. BYNUM, Ms. MCDONALD RIVET, 
Ms. SALINAS, Mr. RUIZ, Mrs. MCIVER, and Mrs. CHERFILUS-MCCOR-
MICK) introduced the following bill; which was referred to the Committee 
on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to establish 
a refundable credit for qualified child care startup expenses. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Expanding Child Care 
Access Act of 2025’’. 
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SEC. 2. LICENSED FAMILY CHILD CARE CREDIT. 
(a) IN GENERAL.—Subpart C of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of 
1986 is amended by inserting after section 36B the fol-
lowing new section: 
‘‘SEC. 36C. LICENSED FAMILY CHILD CARE CREDIT. 
‘‘(a) IN GENERAL.—In the case of a qualified tax-
payer, there shall be allowed as a credit against the tax 
imposed by this subtitle for any taxable year an amount 
equal to so much of the qualified child care startup ex-
penses of the taxpayer for such taxable year or for the 
preceding taxable year as do not exceed $5,000. 
‘‘(b) QUALIFIED TAXPAYER.—For purposes of this 
section, the term ‘qualified taxpayer’ means, with respect 
to a taxable year, a taxpayer that operates a qualified fam-
ily child care provider. 
‘‘(c) QUALIFIED FAMILY CHILD CARE PROVIDER.— 
For purposes of this section, the term ‘qualified family 
child care provider’ means a family child care provider 
that, with respect to a taxable year— 
‘‘(1) provides child care services for compensa-
tion that, as of the last day of such taxable year, is 
licensed or registered under State law and satisfies 
State and local requirements applicable to the child 
care services it provides, 
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‘‘(2) primarily provides child care at the tax-
payer’s primary residence, and 
‘‘(3) provided child care services to not less 
than 2 children (excluding children of such taxpayer) 
for a significant portion of such taxable year. 
‘‘(d) QUALIFIED
CHILD
CARE
STARTUP
EX-
PENSES.—For purposes of this section, the term ‘qualified 
child care startup expenses’ means amounts paid or in-
curred for any of the following in order to establish and 
operate a qualified family child care provider: 
‘‘(1) Child care licensing fees. 
‘‘(2) Child care supplies including diapers, food, 
toys, and learning materials. 
‘‘(3) Liability insurance. 
‘‘(4) Fencing and installation of such fencing. 
‘‘(5) Outdoor playground equipment and instal-
lation of such equipment. 
‘‘(6) Furniture necessary to provide child care. 
‘‘(7) Salary of an employee other than the tax-
payer. 
‘‘(8) Printer and computers. 
‘‘(9) Professional training required as a condi-
tion of State licensure or registration. 
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‘‘(10) Remediation or renovation of the tax-
payer’s primary residence required as a condition of 
State licensure or registration. 
‘‘(e) LIMITATIONS.—No credit shall be allowed under 
subsection (a) to any taxpayer to whom a credit was al-
lowed under such subsection in any other taxable year. 
‘‘(f) DENIAL OF DOUBLE BENEFIT.—No credit shall 
be allowed under subsection (a) for any expense for which 
a deduction or credit is allowed under any other provision 
of this chapter. 
‘‘(g) REGULATIONS.—The Secretary shall issue such 
regulations or other guidance as may be necessary or ap-
propriate to carry out the purposes of this section, includ-
ing regulations relating to such information reporting and 
coordination with state and local licensing or registration 
entities as the Secretary determines appropriate. 
‘‘(h) SUNSET.—No credit shall be allowed under sub-
section (a) for any taxable year beginning after the date 
that is 7 years after the date of the enactment of this 
section.’’. 
(b) CONFORMING AMENDMENT.—Section 1324(b)(2) 
of title 31, United States Code, is amended by inserting 
‘‘36C,’’ after ‘‘36B,’’. 
(c) CLERICAL AMENDMENT.—The table of sections 
for subpart C of part IV of subchapter A of chapter 1 
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of the Internal Revenue Code of 1986 is amended by in-
serting after the item relating to section 36B the following 
new item: 
‘‘Sec. 36C. Licensed family child care credit.’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to amounts paid or incurred after 
the date of the enactment of this Act. 
Æ 
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