H.R. 206 (107th): Child Care Tax Credit Reform Act of 2001

107th Congress, 2001–2002. Text as of Jan 03, 2001 (Introduced).

Status & Summary | PDF | Source: GPO

HR 206 IH

107th CONGRESS

1st Session

H. R. 206

To amend the Internal Revenue Code of 1986 to increase the child care credit for lower-income working parents, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

January 3, 2001

Mr. SWEENEY introduced the following bill; which was referred to the Committee on Ways and Means


A BILL

To amend the Internal Revenue Code of 1986 to increase the child care credit for lower-income working parents, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ‘Child Care Tax Credit Reform Act of 2001’.

SEC. 2. CHILD CARE CREDIT AMENDMENTS.

    (a) INCREASE IN AMOUNT OF EMPLOYMENT-RELATED EXPENSES TAKEN INTO ACCOUNT-

      (1) 1 QUALIFYING INDIVIDUAL- Paragraph (1) of section 21(c) of the Internal Revenue Code of 1986 (relating to dollar limit on amount creditable) is amended by striking ‘$2,400’ and inserting ‘$3,600’.

      (2) 2 OR MORE QUALIFYING INDIVIDUALS- Paragraph (2) of section 21(c) of such Code (relating to dollar limit on amount creditable) is amended by striking ‘$4,800’ and inserting ‘$5,400’.

    (b) DENIAL OF CREDIT TO TAXPAYERS WHOSE ADJUSTED GROSS INCOME IS $50,000 OR MORE- Paragraph (2) of section 21(a) of such Code (defining applicable percentage) is amended--

      (1) by striking ‘(but not below 20 percent)’ and inserting ‘(but not below zero)’, and

      (2) by striking ‘1 percentage point for each $2,000 (or fraction thereof)’ and inserting ‘1 1/2 percentage points for each full $2,000’.

    (c) EFFECTIVE DATE- The amendments made by this section shall apply to taxable years beginning after December 31, 2000.