Bright Beginnings Act

45BB. Child care innovation and access credit

(a) In general. For purposes of section 38, in the case of an eligible child care provider, the child care innovation and access credit determined under this section for any taxable year is an amount equal to so much of the eligible expenditures of the taxpayer for such taxable year as does not exceed $10,000.

(b) Eligible child care provider. For purposes of this section, the term eligible child care provider means a center-based provider of child care services that—

(1) provides such services—

(A) for compensation,

(B) for fewer than 24 hours per day, and

(C) to individuals who have not attained the age of 14, and

(2) is legally operating under State law and complies with applicable State and local requirements for the provision of such services.

(c) Eligible expenditures. For purposes of this section—

(1) In general. The term eligible expenditures means, with respect to any eligible child care provider, any amounts paid or incurred by such provider to advance innovation and access for individuals with developmental disabilities receiving child care services from such provider.

(2) Innovation. The term innovation means the intentional design and implementation of flexible and responsive environments, tools, and practices that—

(A) reflect the full diversity of human development, sensory processing, and learning styles, and

(B) remove systemic barriers facing individuals.

(3) Access. The term access means the set of physical, sensory, communicative, social, and structural conditions that enable an individual to engage and participate in an environment in ways that align with their modes of interaction.

(4) Developmental disability. The term developmental disability means—

(A) any diagnosed cognitive, physical, communicative, social, emotional, or adaptive developmental delay, and

(B) any diagnosed condition likely to result in a developmental delay described in subparagraph (A).

(d) Special rules

(1) Controlled groups

(A) In general. All members of the same controlled group of corporations (within the meaning of section 52(a)) and all persons under common control (within the meaning of section 52(b)) shall be treated as 1 person for purposes of this section.

(B) Dollar limitation. The Secretary shall apportion the dollar limitation under subsection (a) among the members of any group described in subparagraph (A) in such manner as the Secretary shall by regulations prescribe.

(2) Denial of double benefit. No deduction or credit shall be allowed under this chapter for any amount taken into account in determining the credit under this section.

(e) Regulations. The Secretary shall prescribe such regulations or other guidance as may be necessary or appropriate to carry out the purposes of this section.

(f) Termination. This section shall not apply to any amount paid or incurred after December 31, 2031.

(42) in the case of an eligible child care provider (as defined in section 45BB(b)), the child care innovation and access credit determined under section 45BB(a).

(10) The child care innovation and access credit determined under section 45BB(a).

Sec. 45BB. Child care innovation and access credit.