Quality Start: Louisiana's Quality Rating System
School Readiness Tax Credits


In 2007, the Louisiana Legislature passed a very unique package of tax credits known as the School Readiness Tax Credits.  No other state has this package of tax credits in support of quality child care.  The tax credits took effect on January 1, 2008.

The School Readiness Tax Credits are a comprehensive effort to support Quality Start, the new, voluntary, quality rating system for child care centers through tax breaks to families, child care providers, child care teachers and directors and businesses that support child care, as follows:

Families with a child under age six enrolled in child care will be eligible for a refundable tax credit based on the star rating of the center their child attends.  Click here to see answers to a list of Frequently Asked Questions.
   
Child care providers participating in Quality Start will receive a refundable tax credit based on the number of stars they earn and on the number of children they serve in the Child Care Assistance Program or children in foster care. Click here to see answers to a list of Frequently Asked Questions.  To see and download a flyer, click here.

Child care teachers and directors
will be eligible for a tax credit if they teach in centers participating in Quality Start.  This credit will be based on the level of their education. Click here to see answers to a list of Frequently Asked Questions.  Click here to see the Rule that defines the teacher and director education levels in Louisiana Pathways.  To see and download a flyer, click here.

Businesses
that support quality child care will also be eligible for a tax credit based on the star rating of the center.  These credits may include businesses that construct, renovate, or expand a child care center, purchase equipment for a center, maintain or operate a center, or subsidize child care for their employees. Businesses may also receive a tax credit for donations made to Child Care Resource and Referral agencies. Click here to see answers to a list of Frequently Asked Questions.

Click here to see the School Readiness Tax Credits legislation, Act 394 of the 2007 Louisiana Legislature.  Click here to see the Rule governing the School Readiness Tax Credits. 

Feel free to submit any questions by clicking here
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