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CAP Celebrates the Expansion of Child and Dependent Care Enhancement Tax Credit

Lancaster, PA – Pennsylvania parents will receive some extra funds this tax season, thanks to the Shapiro Administration. In December, Governor Josh Shapiro signed into law an expansion of the Childcare Tax Credit for 210,000 Pennsylvania families. This legislation means thousands of dollars will return to parents that have to pay for childcare.

The state’s credit will now be equal to 100% of the federal credit from $630 to $2,100 to help ease the child and dependent care costs for working families.

Here at Community Action Partnership, we offer many childcare services to our participants to find care for their children. The childcare tax credit will help Lancaster families even out the burden of rising childcare costs in the state.

How it works:

  • The maximum credit will be $1,050 (one child) or $2,100 (two or more children).
  • The minimum credit will be $600 (one child) or $1,200 (two or more children.

Under this new Law, Governor Shapiro says families could see up to a 233% increase in their tax credit from last year.