The bill S.51 proposes the establishment of a Vermont unpaid caregiver tax credit aimed at providing financial support to residents who dedicate significant time to offering uncompensated care to family members. The General Assembly recognizes the substantial contributions of caregivers, particularly women aged 55 and older, who collectively provide millions of hours of unpaid care daily. The bill outlines that the credit will be available to resident individuals or part-year residents who provide at least 20 hours of care per week for a qualifying individual, with a maximum credit of $2,500 for a full year of caregiving. The credit amount will be reduced for individuals with an adjusted gross income exceeding $125,000.

To implement this tax credit, the bill amends existing law to include a new section that defines the credit's purpose and eligibility criteria. It also requires individuals claiming the credit to attest to their qualifications and provide documentation if requested by the Commissioner. The act is set to take effect retroactively on January 1, 2025, applying to taxable years beginning on or after that date.

Statutes affected:
As Introduced: 32-5813