Permanent Child Care Tax Credit, One-Time Property Tax Relief Now Available in Pa.

Families in Pennsylvania will now be able to claim thousands of dollars in benefits, thanks to a new, permanent child care tax credit approved by Gov. Tom Wolf. The break is part of the state’s new $45.2 billion budget, writes Kate Huangpu for the Pittsburgh Post-Gazette.

The budget also contains a onetime, $140 million expansion of the property tax credit for low-income and older Pennsylvanians.

The Child and Dependent Care Enhancement Program returns up to 30 percent of child care-related expenses claimed by filers on their federal returns. People who fall under a certain income level and have one or more dependents are eligible. Expenses claimed max out at $3,000 for those with one dependent and $6,000 for those with two or more dependents. The credit can be claimed when filing state taxes starting in 2023.

Meanwhile, this temporary boost to the state’s Property Tax/Rent Rebate Program will provide eligible Pennsylvanians with rebates from $650 to $975. The program is designed for Pennsylvanians 65 or older, widowed people over 49, and adult people with disabilities. Homeowners with annual incomes under $35,000 are eligible, along with renters earning annual incomes under $15,000.

Read more about Pa.’s child care and property tax credits in Pittsburgh Post-Gazette.