Legislation re-introduced in both houses of Congress would provide caregivers with a tax credit of up to $5,000, if passed.
The bill, the Credit for Caring Act, sponsored by U.S. Sens. Shelley Moore Capito (R-WV), Chair of the Senate Appropriations Subcommittee on Labor, Health and Human Services, Education and Related Agencies, and Michale Bennet (D-CO), would help working families care for their loved ones, officials said.
“The Credit for Caring Act is a great tool to help ease the financial burden caregivers face, and I am proud to join with my colleagues in reintroducing this bill that aims to accomplish that,” Capito said. “Like so many Americans, I helped care for both of my parents as they battled Alzheimer’s at the end of their lives, and therefore, I understand the emotional and physical toll it can take on individuals and families. By passing this bill, we can help caregivers focus more on their loved ones and less on how much it will cost them.”
Officials said more than 48 million Americans are caregivers, who provide approximately $600 billion in unpaid care each year to parents, spouses and other loved ones so they can live independently. The Credit for Caring Act would help cover the more than $7,200 out-of-pocket costs many families spend each year on costs for hoe care aides, adult day care, respite care, transportation and other services.
The bill would create a $5,000 nonrefundable tax credit adjusted to inflation for family caregivers and would apply to family caregivers who incur more than $2,000 in caregiving expenses.
“Family caregivers play a critical role in the lives of their loved ones, often at a significant financial cost to themselves. They have to balance jobs and family responsibilities, and still make ends meet at the end of the month,” Bennet said. “Congress should make things a little easier for them.
U.S. Reps. Mike Carey (R-OH) and Linda Sánchez (D-CA) introduced companion legislation in the House of Representatives.