H. R. 7036
IN THE HOUSE OF REPRESENTATIVES
September 24, 2008
Mrs. Boyda of Kansas (for herself, Mr. Weiner, Mr. Rodriguez, Mr. Israel, Mr. Carson, Mr. Ryan of Ohio, and Ms. Shea-Porter) introduced the following bill; which was referred to the Committee on Ways and Means
To amend the Internal Revenue Code of 1986 to modify the dependent care credit to take into account expenses for care of parents and grandparents who do not live with the taxpayer.
This Act may be cited as the
Elder Care Tax Credit Act of
Congress finds the following:
Approximately two-thirds of the 5.5 million seniors over age 65 who receive long-term care rely exclusively on family, friends and other informal caregivers.
Two in ten adults age 41 to 59 are supporting their parents financially, and slightly more than one in ten are providing financial help to a parent while also raising or supporting a child.
Adults who provide care for an aging relative have extensive costs. Long-distance caregivers spend an average of $8,728 annually, and those who care for someone nearby spend $4,570.
Modification of credit for expenses for household and dependent care services necessary for gainful employment
Credit Allowed for Costs Incurred To Care for Parents and Grandparents Who Do Not Live With the Taxpayer
Paragraph (1) of section 21(b) of the Internal Revenue
Code of 1986 (relating to qualifying individual) is amended by striking
or at the end of subparagraph (B), by striking the period at the
end of subparagraph (C) and inserting
, or, and by adding at the
end the following new subparagraph:
a dependent of the taxpayer (as defined in section 152, determined without regard to subsections (b)(1), (b)(2), (d)(1)(B), and (d)(1)(C)) who is the father or mother of the taxpayer (or an ancestor of such father or mother) and who is physically or mentally incapable of caring for himself or herself.
Subparagraph (B) of section 21(b)(1) of such Code is
amended by inserting
(other than a dependent described in subparagraph
The amendments made by this section shall apply to taxable years beginning after December 31, 2007.