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Alaska2026Enacted

SB96

Alaska SB96: Tax Credits for Child Care Costs

Last scannedSep 21, 2026, 12:32 AM

In one sentence

This law allows businesses in Alaska to claim tax credits when they pay for child care facilities, donate cash or equipment to nonprofit centers used by their employees' children, or give money directly to employees to help with child care costs incurred in the state.

What it does

  • Allows taxpayers to get credit for spending money on a child care facility in Alaska that serves the children of their own workers.
  • Permits businesses to claim tax credits when they donate cash or equipment to nonprofit child care centers in Alaska used by employees' children.
  • Enables employers to receive tax credits if they pay employees directly to help cover child care costs incurred within Alaska.
  • Requires the Department of Labor and Workforce Development to adjust credit limits for inflation starting January 1, 2030.
  • Sets a schedule to update these dollar amounts every five years based on changes in prices measured by the Consumer Price Index for urban Alaska.

Who it affects

  • Businesses subject to insurance taxes that want education tax credits for child care expenses.
  • Companies paying income, oil or gas producer, property, mining business, fisheries business, and fisheries resource landing taxes.
  • Employees whose employers provide funds or facilities to help with their child care costs in Alaska.

Limits and unknowns

  • The specific dollar amounts for these tax credits are not listed in this text.
  • Credits only apply to child care costs incurred within Alaska, as the law specifies 'in the state' or 'urban Alaska'.
  • Inflation adjustments will begin on January 1, 2030.

Plain language

Terms to know

Tax Credit
An amount of money that a taxpayer can subtract from the total tax they owe, reducing what they must pay to the government.
Consumer Price Index (CPI)
A measure used by the U.S. Department of Labor to track changes in prices for goods and services over time.

Official record

Sources

Validated
Official bill pageIntroduced textCurrent bill text

Official summary

CHILD CARE: TAX CREDITS An Act relating to education tax credits for certain payments and contributions for child care and child care facilities; relating to the insurance tax education credit, the income tax education credit, the oil or gas producer education credit, the property tax education credit, the mining business education credit, the fisheries business education credit, and the fisheries resource landing tax education credit; providing for an effective date by amending the effective date of secs. 1, 2, and 21, ch. 61, SLA 2014; and providing for an effective date.

Official activity

Bill history

  1. (S) EFFECTIVE DATE(S) OF LAW SEE CHAPTER1401
  2. (S) SIGNED INTO LAW 6/24 CHAPTER 15 SLA 251401
  3. (S) 10:30 A.M. 6/20/25 TRANSMITTED TO GOVERNOR1388
  4. (H) VERSION: SB 961244
  5. (H) RETURN TO (S), TRANSMIT TO GOV NEXT1244
  6. (H) EFFECTIVE DATE(S) SAME AS PASSAGE1244
  7. (H) PASSED ON RECONSIDERATION Y35 N4 E11244
  8. (H) RECON SAME DAY UC - IN THIRD READING1244
  9. (H) RAUSCHER NOTICE OF RECONSIDERATION1239
  10. (H) EFFECTIVE DATE(S) SAME AS PASSAGE1239
  11. (H) PASSED Y33 N5 E1 A11238
  12. (H) READ THE THIRD TIME SB 961238
  13. (H) ADVANCED TO THIRD READING UC1238
  14. (H) READ THE SECOND TIME1238
  15. (H) RULES TO CALENDAR 5/16/20251238
  16. (H) FN3: ZERO(CED)1221
  17. (H) FN2: INDETERMINATE(REV)1221
  18. (H) FN1: ZERO(LWF)1221
  19. (H) NR: BYNUM, HANNAN, TOMASZEWSKI, JOSEPHSON, SCHRAGE1221
  20. (H) DNP: ALLARD1221