This bill amends the West Virginia Code to significantly enhance tax credits for employers who provide child care for their employees. It raises the tax credit for capital investment in qualified child-care property from 50% to 100% of the costs incurred, applicable for the taxable year in which the property is first placed in service and for the subsequent four years. Additionally, the tax credit for operating costs associated with providing child care is also increased from 50% to 100% of the incurred costs, excluding amounts paid by employees. The bill includes definitions and conditions for these tax credits, such as the definition of "qualified child-care property," and establishes a recapture mechanism for any adjustments to previously claimed credits.

Moreover, the legislation introduces provisions for non-profit corporations, allowing them to transfer their tax credits to other taxpayers, thereby enhancing the flexibility of these credits. Employers are required to certify information regarding the child-care provider and the employees benefiting from the care, and unused credits can be carried over for five years. The Tax Department is responsible for certifying the amount of transferable credits within 90 days of application, and the Tax Commissioner is empowered to create necessary rules for effective implementation. Overall, the bill aims to incentivize employer-supported child care, promoting employee welfare and potentially improving workforce productivity.

Statutes affected:
Introduced Version: 11-21-97, 11-24-44