WASHINGTON, D.C. — The Senate Finance Committee has unveiled a sweeping tax reform package—officially titled the One Big Beautiful Bill Act—which includes significant family-centered provisions long advocated by U.S. Senator Katie Britt (R-Ala.). Among the standout measures are key updates to child care tax credits, which Britt says will provide vital relief to working families across the country.
Crafted and led by Senate Republicans, the legislation seeks to permanently extend core elements of the 2017 Trump-era tax cuts while delivering new support aimed at the middle class. Notably, the bill expands the Child and Dependent Care Tax Credit (CDCTC), raises the cap on pre-tax Dependent Care Assistance Plan (D-CAP) contributions from $5,000 to $7,500, and boosts the Employer Provided Child Care Tax Credit (45F) to $500,000 for large companies and $600,000 for small businesses.
Senator Britt, a freshman Republican from Alabama, praised the inclusion of these measures, calling them “a critical step toward easing the financial burdens that families face.”
“I have long championed the need for updated child care tax credits to help parents grow their families and to help strengthen our economy and workforce,” Britt said. “An overwhelming majority of American families—81% of parents—have called on Congress to address the affordability and accessibility of child care. Senate Republicans responded with decisive action.”
Britt, who has emerged as a leading pro-family voice in the GOP, positioned the tax credit reforms as part of a broader effort to support working parents and empower small businesses.
“I’m glad to see several of my pro-family priorities included in reconciliation—this is a great step in the right direction,” she said. “I will continue fighting to get this over the finish line for hardworking families.”
The senator also underscored the political and social importance of the reforms. “Republicans are the party of parents, the party of families, and the party of hardworking Americans,” Britt said. “There is no better way to prove that than by addressing the child care crisis head-on through modernizing and expanding these vital tax credits. I’m proud to help parents save money and pave their pathway to the American Dream.”
With child care costs at historic highs and labor force participation among mothers still recovering from pandemic-era setbacks, proponents say the enhanced credits will ease cost burdens, enable more parents—particularly mothers—to return to work, and help businesses attract and retain talent.
If passed, these reforms would mark one of the most substantial federal investments in working families in more than a decade. The changes reflect Britt’s growing influence on economic policy within the Republican Party and further cement her role as a national advocate for pro-family legislation.
While the bill’s future remains uncertain as it heads to the full Senate and eventual negotiations with the House, its introduction signals momentum for a key component of the GOP’s economic agenda—and a policy win for Britt and her allies.
