Committee hears bill to create refundable child tax credit for children under 6; fiscal cost estimated at about $53 million

Senate Bill 179, a proposal to create a refundable child tax credit for Kansas residents, was presented to the Senate Assessment and Taxation Committee in a hearing that outlined the credit's structure, fiscal impact estimate and supporting evidence from advocates.

Committee staff presenter Amelia told senators the bill would establish a refundable credit beginning with tax year 2025. The credit amount would vary based on Kansas adjusted gross income as shown in a chart in the bill text; Amelia also said the bill limits "qualifying child" to a child under age 6 at the end of the tax year. For tax years after 2025, both the income thresholds and credit amounts would be adjusted annually by cost of living adjustments.

Nathan Kessler, testifying "on behalf of Kansas Action for Children," told the committee he "rises in strong support" of the bill. Kessler cited research showing the expanded federal child tax credit reduced child poverty and argued a state refundable credit would help families meet basic needs while stimulating local economic activity. "Evidence shows that expanded federal CTC payments were used for essential items and groceries," he said, summarizing empirical findings and urging legislators to adopt the proposal.

The Department of Revenue's fiscal note, discussed in the hearing, estimated the bill's cost at approximately $53,000,000. Revenue staff also indicated the fiscal note includes an estimate of 187,500 children who would receive the credit; committee members asked staff to clarify whether that figure reflected children or taxpayers and staff confirmed it represented estimated children. Senators asked about the refundable portion and how often the state would issue payments exceeding tax liabilities; KDOR staff said that outcome is more likely for lower-income taxpayers and depends on the number of qualifying children per household.

Committee members asked staff to provide additional context about related state spending on child care and family supports. KDOR staff described separate state tax expenditures and direct spending for child care assistance: for example, the Child Care Assistance Program (DCF) all‑funds amount was presented as about $113.2 million for 2026 with a State General Fund portion of about $14.5 million; staff said additional program and grant spending by Commerce and KDHE would be added to committee materials on request.

The hearing record contains written proponent testimony and no in-person opponents; the chair closed the hearing without a committee vote.