Addressing Our Childcare Crisis

Lawmakers in the Missouri General Assembly are considering HB 1488 and SB 742, an innovative legislative package which would increase the capacity of child care providers and help businesses – large and small – offer child care benefits to employees.  

Child care is not just an issue for working parents; it’s an economic issue. A 2021 study revealed that a lack of available child care is costing Missouri’s economy $1.35 billion annually. Additionally, when responding to the Missouri Chamber’s 2023 CEO Survey, 80 percent of business leaders said the expense and difficulty in finding child care keeps a significant number of Missourians out of the workforce.

HB 1488 (Shields) and SB 742 (Arthur) would create three types of tax credits:

• Child Care Contribution Tax Credit: A 75% tax credit for businesses, charitable organizations and individuals on contributions to a licensed or registered child care provider
• Employer-Provided Child Care Assistance Tax Credit: A 30% tax credit on eligible child care expenditures for employers’ on-site or off-premises child care for employees
• Child Care Providers Tax Credit: Credit for payroll tax withholdings for employees and a 30% tax credit on eligible capital improvements to a child care facility

Please contact your legislators today and ask them to help pass HB 1488 and SB 742! These bills are critical in supporting Missouri families and ensuring businesses have the workforce they need.