Del. John Williams, D-Monongalia, and other House Democrats attempted to change the Child and Dependent Care Tax Credit to a refundable tax credit during the special session of the West Virginia Legislature in Charleston on Monday, Oct. 7, 2024. , W.Va. The amendment failed. (Perry Bennett | West Virginia Legislative Photography)
The West Virginia House of Representatives on Monday approved Governor Jim Justice’s proposal for a child and dependent care tax credit. The bill aims to help parents recoup some of the money they spend on child care, which can cost families up to $900 a month.
There is already one federal version of the tax credit for children and dependent care. The accountA priority for Justice during the special session, would create a state version of the tax credit equal to 50% of the allowable federal child and dependent care credit.
The average West Virginia family would receive about $227 in tax credits.
“We are mirroring the view of the federal program … to help parents do childcare along the same lines as federal guidelines,” said House Finance Committee Chairman Vernon Criss, R-Wood.
Several lawmakers noted that the bill would not provide widespread relief childcare shortages statewide.
“It’s a great honor. I’m excited to help it, but it helps afterwards. It won’t help access to child care,” Del said. Kayla Young, D-Kanawha, who said the state has lost hundreds of child care spots this year, largely due to to financial pressure. “It’s going to help people who can already find it and can already afford it.”
The new state-level credit is non-refundable.
Del. John Williams, D-Monongalia, and other Democrats in the House of Representatives tried that change the legislation is a refundable tax credit. Williams said it wouldn’t put money in families’ pockets to put into child care. He estimated that his amendment would cost the bill at $6 million or less, compared to the bill’s $4.2 million tax bill.
“If there’s someone who doesn’t owe income tax for a given year, then they’re left out of this,” Williams said.
He continued, “I am not interested in the cost of this amendment. The costs that interest me are [what] it will cost our families to start a family in 2024…I’m just trying to get more money into people’s pockets so they can enjoy the freedom to start a family and the freedom to work while they do it .”
Criss urged rejection of the amendment, saying he didn’t believe lawmakers wanted to give “a straight check” that people could use for childcare. The amendment failed 77-15.
The bill to create the child tax credit passed the House of Representatives by a vote of 86-5, but not before some Republican men expressed concern that it would leave out stay-at-home mothers.
“I worry that this bill could encourage one lifestyle over another,” Del said. Elias Coop-Gonzalez, R-Randolph. “I certainly don’t want traditional families to be disadvantaged.”
Del. Henry Dillon, R-Wayne, a teacher with five children, said his wife stays home and homeschools their children. “So if people are in really similar situations, they are treated differently under the law than someone who decides to put their child in the care of someone else to go work for the man, for the company or whoever,” said he.
Dillon added that the bill could encourage women to leave their homes and enter the workforce. He voted no on the bill, saying he wanted to “stand on the side of freedom.”
The Senate must still pass the bill as the special session continues.
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