Small Business Dependent Care FSA Opportunity Act

This bill would create a federal tax credit for small employers that set up a new dependent care flexible spending plan for their workers. The credit would equal the costs of starting and running the plan and teaching employees about it. For the first credit year and the two years after, the yearly credit would be the greater of $500 or $250 per eligible non-highly-paid employee, capped at $5,000. Employers that already had a similar plan for mostly the same employees in the prior three years would not qualify. The credit would apply to costs paid after the bill becomes law.

Full text and official record on Congress.gov

Sponsors

• Adrian Smith Republican sponsor
• 2 cosponsors