 state income tax credits for day care  1 should the legislature be giving tax breaks to families for child care that we end up footing the bill for 2 i thought having childern was a choice and that it was the parents responsibility to assume the cost of raising them 3 and she wants to give a break to people making up to 10000000 rep dian slavens 2013 house bill 4005 authorize state child care subsidies and tax breaks introduced by rep dian slavens d on january 9 2013 to authorize a ldquo refundable rdquo state income tax credit essentially a cash subsidy in many cases that would be a percentage of a federal income tax child care credit the individual can claim with the percentage ldquo means tested rdquo on the basis of gross income ranging from 110 percent for households with less than 25000 income to 20 percent for those between 65000 and 100000 text of the proposed bill sec 272a 1 for tax years that begin after december 31 2012 a taxpayer may credit against the tax imposed by this act an amount equal to the following specified percentages of the credit the taxpayer is allowed to claim as a credit under section 21 of the internal revenue code for a tax year on a return filed under this act for the same tax year a for a taxpayer with an adjusted gross income as defined in the internal revenue code of less than 2500000 110 b for a taxpayer with an adjusted gross income as defined in the internal revenue code of 2500000 or more but less than 4000000 100 c for a taxpayer with an adjusted gross income as defined in the internal revenue code of 4000000 or more but less than 6500000 80 d for a taxpayer with an adjusted gross income as defined in the internal revenue code of 6500000 or more but less than 10000000 20 2 if the credit allowed by this section exceeds the tax liability of the taxpayer for the tax year the state treasurer shall refund the excess to the taxpayer without interest except as provided in section 30 of 1941 pa 122 mcl 20530 19  