The bill establishes a child tax credit for full-time residents of Wyoming, allowing them to claim a credit of $200 per child against their state taxes. The legislation amends W.S. 39-11-109(d) to include specific provisions for this credit, which requires applicants to apply to the department by March 1 of the year following the applicable tax year. Applicants must provide information to verify their residency, the number of dependents, and the amount of taxes paid. If the applicant has only paid sales and use taxes and lacks documentation, the department may estimate the amount paid, capped at $400. Refunds will be issued based on the amount of taxes paid, not exceeding $200 per child, and will be prorated if funds are insufficient.

Additionally, the bill appropriates $5 million from the general fund to the Department of Revenue for the purpose of providing these child tax credit refunds, with the funds available until June 30, 2026. The department is tasked with adopting necessary rules for processing applications by January 1, 2026, for taxes paid in the 2025 tax year. The act is effective immediately upon completion of the legislative process as outlined in the Wyoming Constitution.

Statutes affected:
Introduced: 39-11-109