Missouri child care providers would get additional tax breaks under terms of a bill before the Missouri legislature.
A House bill, versions of which have made it to the Senate several years in a row, gives providers tax cuts, with a statewide cap of $20 million annually.
These tax cuts are meant to increase the amount of child care for children aged 12 and younger, and fight against the more than 70 child care deserts in the state.
For a provider to be eligible, they need to register with the Department of Elementary and Secondary Education.
Bill sponsor Rep. Brenda Shields (R-St. Joseph) said child care needs more attention in Missouri.
“It is an investment that we are asking people and businesses to make in child care,” Shields said.
Several business leaders in Missouri testified in support Tuesday, including Missouri Chamber of Commerce (MCC) CEO Kara Corches. Corches views child care as more than just government support, arguing the tax breaks would benefit all Missourians.
“Child care is not just an issue for working parents to figure out,” Corches said. “This truly is an economic issue that is impacting every corner of our state.”
A joint study between MCC and the U.S. Chamber of Commerce Foundation from 2021 found that Missouri misses out on $1.35 billion in economic development annually because of a lack of child care options.
The bill faced opposition in 2024 from Republican legislators who viewed the cuts as handouts, despite being a priority for then-Republican Gov. Mike Parsons.
The bill still needs to be voted out of committee and approved by the full Senate.
