This bill introduces a new section to the North Dakota Century Code that establishes an income tax credit for qualified employers who make child care contributions to their employees. Specifically, the credit allows these employers to claim a deduction equal to fifty percent of their total child care contributions made during the taxable year, with a cap on the contributions of up to one thousand dollars per qualified employee. The credit must be claimed in the year the contributions are made and cannot exceed the employer's tax liability for that year. Additionally, passthrough entities can also benefit from this credit, with the amount distributed to partners, shareholders, or members based on their respective interests.

Furthermore, the bill defines key terms related to the child care contribution credit, including "qualified employer," "qualified employee," and "child care provider." It mandates that to qualify for the credit, employers must provide equal opportunities for all employees with child care costs to receive contributions. The bill also includes a new subdivision to an existing section of the tax code to incorporate this credit. The provisions of this act will take effect for taxable years beginning after December 31, 2024.