,,ii  #aaith ,,congress  #ast ,session  
,s4 #cecd  ,,in ,,the ,,senate ,,of     
,,the ,,united ,,states  ,december #ag1 
#bjbe,mr4 ,warner 7for himself and ,mr4 
,justice7 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 credit for        
increasing wages paid to child care     
providers4  #a4 ,child care supply      
credit  7a7 ,in general ,subpart ,d of  
part ,,iv of subchapter ,a of chapter #a
 of the ,internal ,revenue ,code of     
#aihf is amended by adding at the end   
the following new section3  #de;,,bb4   
,child care supply credit  7a7 ,in      
general ,for purposes of section #ch1   
the amount of the child care supply     
credit determined under this section    
with respect to any employer for any    
taxable year is an amount equal to the  
applicable percentage of the qualified  
child care wages paid or incurred by the
 employer4  7b7 ,applicable percentage  

,for purposes of this section-- 7#a7 ,in
 general ,except as provided in         
paragraph 7#b71 the applicable          
percentage is #e percent4  7#b7 ,rural  
areas  7,a7 ,in general ,in the case of 
qualified child care wages paid or      
incurred with respect to employment at  
an eligible childcare facility which is 
located in a rural area1 the applicable 
percentage is #g percent4  7,b7 ,rural  
area defined ,for purposes of this      
paragraph1 the term rural area means any
 area other than an urban area 7as      
defined in section #aja7;a77#ce7 of     
title #bc1 ,united ,states ,code74  7c7 
,definitions ,for purposes of this      
section-- 7#a7 ,qualified child care    
wages  7,a7 ,in general ,the term       
qualified child care wages means wages  
paid to qualified child care workers4   
7,b7 ,wages ,the term wages has the     
meaning given such term by subsection   
7b7 of section #ccjf 7determined without
 regard to any dollar limitation        
contained in such section74 ,such term  

shall not include any amount taken into 
account for purposes of determining any 
other credit allowed under this subpart4
  7#b7 ,qualified child care worker     
7,a7 ,in general ,the term qualified    
child care worker means any employee    
who-- 7i7 is employed at an eligible    
child care facility1 and  7ii7 provides 
child care services4  7#c7 ,eligible    
child care facility ,the term eligible  
child care facility means any facility  
which-- 7,a7 provides child care        
services for at least #f individuals1   
7,b7 receives a fee1 payment1 or grant  
for providing such services1 and  7,c7  
complies with all applicable laws and   
regulations of a ,state or unit of local
 government4  7#d7 ,child care services 
,the term child care services means the 
providing of care1 education1           
protection1 supervision1 or guidance to 
children4  7d7 ,election ,to have credit
 not apply  7#a7 ,in general ,a taxpayer
 may elect to have this section not     
apply for any taxable year4  7#b7 ,other

 rules ,rules similar to the rules of   
paragraphs 7#b7 and 7#c7 of section     
#ea7;j7 shall apply for purposes of this
 subsection4  4  7b7 ,credit treated as 
part of general business credit ,section
 #ch7;b7 of the ,internal ,revenue ,code
 of #aihf is amended by striking plus at
 the end of paragraph 7#dj71 by striking
 the period at the end of paragraph     
7#da7 and inserting 1 plus1 and by      
adding at the end the following new     
paragraph3  7#db7 the child care supply 
credit determined under section         
#de;,,bb7a74  4  7c7 ,elective payment  
,section #fdag7;b7 of the ,internal     
,revenue ,code of #aihf is amended by   
adding at the end the following new     
paragraph3  7#ac7 ,the child care supply
 credit determined under section        
#de;,,bb7a74  4  7d7 ,denial of double  
benefit ,section #bhj;,c7a7 of the      
,internal ,revenue ,code of #aihf is    
amended by inserting #de;,,bb7a71 after 
#de,s7a714  7e7 ,clerical amendment ,the
 table of sections for subpart ,d of    

part ,,iv of subchapter ,a of chapter #a
 of the ,internal ,revenue ,code of     
#aihf is amended by adding at the end   
the following new item3  ,sec4 #de;,,bb4
 ,child care supply credit4  4  7f7     
,effective date ,the amendments made by 
this section shall apply to taxable     
years beginning after the date of the   
enactment of this ,act4