The bill aims to improve the accessibility and effectiveness of West Virginia's child care tax credit for employers by broadening the definition of eligible child care facilities. It introduces the concept of "employer-sponsored" child care, which includes licensed services financially supported by employers, and establishes the "Tri-Share Child Care program," a cost-sharing model involving parents, employers, and the state. The bill also modifies existing tax credit provisions, increasing the credit percentage for capital investment in qualified child-care property from 50% to 100% and allowing funds directed towards employer-sponsored facilities to qualify for this credit.

Additionally, the bill extends the carryforward period for unused tax credits from three years to 20 years and introduces a nonrefundable tax credit for employers participating in the Tri-Share Program, equating to 50% of their contributions. This credit can be applied against state business taxes and carried forward for up to five consecutive taxable years. The legislation also allows non-profit corporations to transfer their tax credits to other taxpayers, enhancing the utility of these credits. Overall, the bill is designed to incentivize employers to provide or sponsor child care services, thereby supporting working families in West Virginia.

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