[Congressional Record Volume 163, Number 195 (Thursday, November 30, 2017)]
[Senate]
[Page S7589]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 1688. Mrs. SHAHEEN submitted an amendment intended to be proposed 
by her to the bill H.R. 1, to provide for reconciliation pursuant to 
titles II and V of the concurrent resolution on the budget for fiscal 
year 2018; which was ordered to lie on the table; as follows:

       At the end of part III of subtitle A of title I, insert the 
     following:

     SEC. 11030. RIGHT START CHILD CARE AND EDUCATION ACT.

       (a) Increase in Employer-provided Child Care Credit.--
       (1) Increase in creditable percentage of child care 
     expenditures.--Paragraph (1) of section 45F(a) is amended by 
     striking ``25 percent'' and inserting ``35 percent''.
       (2) Increase in creditable percentage of resource and 
     referral expenditures.--Paragraph (2) of section 45F(a) is 
     amended by striking ``10 percent'' and inserting ``20 
     percent''.
       (3) Increase in maximum credit.--Subsection (b) of section 
     45F is amended by striking ``$150,000'' and inserting 
     ``$225,000''.
       (4) Effective date.--The amendments made by this subsection 
     shall apply to taxable years beginning after December 31, 
     2017.
       (b) Increase in Dependent Care Credit.--
       (1) Increase in incomes eligible for full credit.--
     Paragraph (2) of section 21(a) is amended by striking 
     ``$15,000'' and inserting ``$30,000''.
       (2) Increase in percentage of expenses allowable.--
     Paragraph (2) of section 21(a) is amended--
       (A) by striking ``35 percent'' and inserting ``50 
     percent'', and
       (B) by striking ``20 percent'' and inserting ``35 
     percent''.
       (3) Increase in dollar limit on amount creditable.--
     Subsection (c) of section 21 is amended--
       (A) by striking ``$3,000'' in paragraph (1) and inserting 
     ``$6,000'', and
       (B) by striking ``$6,000'' in paragraph (2) and inserting 
     ``$12,000''.
       (4) Credit to be refundable.--
       (A) In general.--The Internal Revenue Code of 1986 is 
     amended--
       (i) by redesignating section 21 as section 36C, and
       (ii) by moving section 36C, as so redesignated, from 
     subpart A of part IV of subchapter A of chapter 1 to the 
     location immediately before section 37 in subpart C of part 
     IV of subchapter A of chapter 1.
       (B) Technical amendments.--
       (i) Paragraph (1) of section 23(f) is amended by striking 
     ``21(e)'' and inserting ``36C(e)''.
       (ii) Paragraph (6) of section 35(g) is amended by striking 
     ``21(e)'' and inserting ``36C(e)''.
       (iii) Paragraph (1) of section 36C(a) (as redesignated by 
     subparagraph (A)) is amended by striking ``this chapter'' and 
     inserting ``this subtitle''.
       (iv) Subparagraph (C) of section 129(a)(2) is amended by 
     striking ``section 21(e)'' and inserting ``section 36C(e)''.
       (v) Paragraph (2) of section 129(b) is amended by striking 
     ``section 21(d)(2)'' and inserting ``section 36C(d)(2)''.
       (vi) Paragraph (1) of section 129(e) is amended by striking 
     ``section 21(b)(2)'' and inserting ``section 36C(b)(2)''.
       (vii) Subsection (e) of section 213 is amended by striking 
     ``section 21'' and inserting ``section 36C''.
       (viii) Subparagraph (H) of section 6213(g)(2) is amended by 
     striking ``section 21'' and inserting ``section 36C''.
       (ix) Subparagraph (L) of section 6213(g)(2) is amended by 
     striking ``section 21, 24, or 32'' and inserting ``section 
     24, 32, or 36C''.
       (x) Paragraph (2) of section 1324(b) of title 31, United 
     States Code, is amended by inserting ``36C,'' after ``36B,''.
       (xi) The table of sections for subpart C of part IV of 
     subchapter A of chapter 1 is amended by inserting after the 
     item relating to section 36B the following:

``Sec. 36C. Expenses for household and dependent care services 
              necessary for gainful employment.''.
       (xii) The table of sections for subpart A of such part IV 
     is amended by striking the item relating to section 21.
       (5) Effective date.--The amendments made by this subsection 
     shall apply to taxable years beginning after December 31, 
     2017.
       (c) 3-year Credit for Individuals Holding Child Care-
     related Degrees Who Work in Licensed Child Care Facilities.--
       (1) In general.--Subpart A of part IV of subchapter A of 
     chapter 1 is amended by inserting after section 25D the 
     following new section:

     ``SEC. 25E. RIGHT START CHILD CARE AND EDUCATION CREDIT.

       ``(a) Allowance of Credit.--In the case of an individual 
     who is an eligible child care provider for the taxable year, 
     there shall be allowed as a credit against the tax imposed by 
     this chapter for the taxable year the amount of $2,000.
       ``(b) 3-Year Credit.--
       ``(1) In general.--The credit allowable by subsection (a) 
     for any taxable year to an individual shall be allowed for 
     such year only if the individual elects the application of 
     this section for such year.
       ``(2) Election.--An election to have this section apply may 
     not be made by an individual for any taxable year if such an 
     election by such individual is in effect for any 3 prior 
     taxable years.
       ``(c) Eligible Child Care Provider.--For purposes of this 
     section--
       ``(1) In general.--The term `eligible child care provider' 
     means, for any taxable year, any individual if--
       ``(A) as of the close of such taxable year, such individual 
     holds a bachelor's degree in early childhood education, child 
     care, or a related degree and such degree was awarded by an 
     eligible educational institution (as defined in section 
     25A(f)(2)), and
       ``(B) during such taxable year, such individual performs at 
     least 1,200 hours of child care services at a facility if--
       ``(i) the principal use of the facility is to provide child 
     care services,
       ``(ii) no more than 25 percent of the children receiving 
     child care services at the facility are children (as defined 
     in section 152(f)) of the individual or such individual's 
     spouse, and
       ``(iii) the facility meets the requirements of all 
     applicable laws and regulations of the State or local 
     government in which it is located, including the licensing of 
     the facility as a child care facility.
     Subparagraph (B)(i) shall not apply to a facility which is 
     the principal residence (within the meaning of section 121) 
     of the operator of the facility.
       ``(2) Child care services.--The term `child care services' 
     means child care and early childhood education.''.
       (2) Clerical amendment.--The table of sections for subpart 
     A of part IV of subchapter A of chapter 1 is amended by 
     inserting after the item relating to section 25D the 
     following new item:

``Sec. 25E. Right Start Child Care and Education Credit.''.
       (3) Effective date.--The amendments made by this subsection 
     shall apply to taxable years beginning after December 31, 
     2017.
       (d) Increase in Exclusion for Employer-provided Dependent 
     Care Assistance.--
       (1) In general.--Subparagraph (A) of section 129(a)(2) is 
     amended by striking ``$5,000 ($2,500'' and inserting ``$7,500 
     ($3,750''.
       (2) Effective date.--The amendment made by this subsection 
     shall apply to taxable years beginning after December 31, 
     2017.
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