,,ii  #aacth ,,congress  #ast ,session  
,s4 #dch  ,,in ,,the ,,senate ,,of ,,the
 ,,united ,,states  ,march #d1 #bjac    
,mr4 ,reid 7for ,mr4 ,begich7 introduced
 the following bill2 which was read     
twice and referred to the ,committee on 
,finance  ,a ,,bill  ,to amend the      
,internal ,revenue ,code of #aihf to    
provide a tax credit for professional   
school personnel in early childhood     
education1 to expand the deduction for  
certain expenses of teachers to teachers
 in early childhood education1 and to   
modify the credit for dependent care    
services4  #a4 ,short title ,this ,act  
may be cited as the ,tax ,credit for    
,early ,educators ,act of #bjac4  #b4   
,tax credit for professional school     
personnel in early childhood education  
7a7 ,in general ,subpart ,a of part ,,iv
 of subchapter ,a of chapter #a of the  
,internal ,revenue ,code of #aihf       
7relating to nonrefundable personal     
credits7 is amended by inserting after  
section #be;,d the following new        

section3  #be;,e4 ,professional school  
personnel in early childhood education  
7a7 ,allowance of credit ,in the case of
 an eligible individual1 there shall be 
allowed as a credit against the tax     
imposed by this chapter for the taxable 
year an amount equal to #c1jjj4  7b7    
,eligible individual ,for purposes of   
this section--  7#a7 ,in general ,the   
term eligible individual means any      
individual--  7,a7 who is employed in a 
position which involves regular contact 
with students in an early childhood     
school or program1 and  7,b7 whose      
position involves the formulation or    
implementation of the educational       
program for such school or program4     
7#b7 ,early childhood school or program 
,the term early childhood school or     
program means any school or program     
which provides early childhood          
education1 as determined under ,state   
law4  7c7 ,cost-of-,living adjustment   
7#a7 ,in general ,in the case of any    
taxable year beginning in a calendar    

year after #bjac1 the #c1jjj amount     
contained in subsection 7a7 shall be    
increased by an amount equal to--  7,a7 
such dollar amount1 multiplied by  7,b7 
the cost-of-living adjustment determined
 under section #a7;f77#c7 for the       
calendar year in which the taxable year 
begins1 by substituting calendar year   
#bjab for calendar year #aiib in        
subparagraph 7,b7 thereof4  7#b7        
,rounding ,if any increase determined   
under paragraph 7#a7 is not a multiple  
of #aj1 such increase shall be increased
 to the next highest multiple of #aj4  4
  7b7 ,clerical amendment ,the table of 
sections for subpart ,a of part ,,iv of 
subchapter ,a of chapter #a of such     
,code is amended by inserting after the 
item relating to section #be;,d the     
following new item3  ,sec4 #be;,e4      
,professional school personnel in early 
childhood education4  4  7c7 ,effective 
date ,the amendments made by this       
section shall apply to taxable years    
beginning after ,december #ca1 #bjab4   

#c4 ,deduction for certain expenses of  
early childhood1 preschool1 elementary  
and secondary school teachers  7a7 ,in  
general ,subparagraph 7,d7 of section   
#fb7;a77#b7 of the ,internal ,revenue   
,code of #aihf 7relating to certain     
expenses of elementary and secondary    
school teachers7 is amended to read as  
follows3  7,d7 ,certain expenses of     
early childhood1 preschool1 elementary  
and secondary school teachers ,in the   
case of taxable years beginning before  
#bjah1 the deductions allowed by section
 #afb which consist of expenses1 not in 
excess of the applicable amount1 paid or
 incurred by an eligible educator in    
connection with books1 supplies 7other  
than nonathletic supplies for courses of
 instruction in health or physical      
education71 computer equipment          
7including related software and         
services7 and other equipment1 and      
supplementary materials used by the     
eligible educator in the classroom4  4  
7b7 ,definitions ,subsection 7d7 of     

section #fb of such ,code 7relating to  
definition2 special rules7 is amended to
 read as follows3  7d7 ,definitions     
relating to early childhood1 preschool1 
elementary and secondary school teachers
 ,for purposes of subsection            
7a77#b77;,d7 and this subsection--  7#a7
 ,applicable amount ,the term applicable
 amount means--  7,a7 #ejj in the case  
of a full-time educator1 and  7,b7 #bej 
in any other case4  7#b7 ,eligible      
educator ,the term eligible educator    
means1 with respect to any taxable year1
 an individual who is--  7,a7 a         
kindergarten through grade #ab teacher1 
instructor1 counselor1 principal1 or    
aide in a school for at least #dej hours
 during a school year which ends during 
such taxable year1 or  7,b7 a teacher1  
instructor1 counselor1 or aid in a      
preschool or early childhood program for
 at least #dej hours during the taxable 
year4  7#c7 ,full-time educator ,the    
term full-time educator means1 with     
respect to any taxable year1 an         

individual who for such taxable year    
satisfies the requirements of           
subparagraph 7,a7 or 7,b7 of paragraph  
7#b7 applied by substituting #ijj hours 
for #dej hours therein4  7#d7 ,school   
,the term school means any school which 
provides elementary education or        
secondary education 7kindergarten       
through grade #ab71 as determined under 
,state law4  7#e7 ,preschool or early   
childhood program ,the term preschool or
 early childhood program means any      
program which--  7,a7 is for providing  
preschool and receives funds for        
carrying out preschool programs pursuant
 to--  7i7 part ,a of title ,i of the   
,elementary and ,secondary ,education   
,act of #aife1 or  7ii7 subpart #b of   
part ,b of title ,i of such ,act1 or    
7,b7 is an early childhood program1 as  
defined under section #ajc of the       
,higher ,education ,act of #aife4  4    
7c7 ,effective date ,the amendments made
 by this section shall apply to taxable 
years ending after the date of the      

enactment of this ,act4  #d4            
,modification of credit for dependent   
care services  7a7 ,in general          
,subsection 7a7 of section #ba of the   
,internal ,revenue ,code of #aihf is    
amended to read as follows3  7a7        
,allowance of credit ,in the case of an 
individual for which there are #a or    
more qualifying individuals 7as defined 
in subsection 7b77#a77 with respect to  
such individual1 there shall be allowed 
as a credit against the tax imposed by  
this chapter for the taxable year an    
amount equal to #ce percent of the      
employment-related expenses 7as defined 
in subsection 7b77#b77 paid by such     
individual during the taxable year4  4  
7b7 ,effective date ,the amendments made
 by this section shall apply to taxable 
years beginning after the date of the   
enactment of this ,act4