Senate subcommittee hears widespread support for Senate Bill 47 to expand child‑care tax credits

Senate Bill 47 would expand several existing child‑care tax credits, add a new refundable credit for child‑care directors and staff, and broaden the types of South Carolina state taxes against which the credits may be applied, a Senate subcommittee heard during a public hearing.

The bill increases a current credit cap from $100,000 to $1,000,000 and would allow that existing credit to be applied against state income tax, bank tax, premium tax, license tax and withholding tax, according to staff briefing materials presented to the panel. The measure would also increase a per‑child credit from $3,000 to $12,000 and create a refundable income tax credit for full‑time child‑care directors and staff ranging from $1,500 to $3,000, depending on position qualifications. One section of the bill would be repealed on 12/31/2030 unless reauthorized; the bill takes effect for tax years beginning after 2024.

The proposal was described to the panel as a step to address workforce and economic development problems. "This is not a silver bullet by any means ... it is a starting point for a conversation," said Senator Larry…