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Stoney, L and Mitchell, A. 2008 "Using Tax Credits to Promote High Quality Early Care and Education Services." Partnership for America's Economic Success. Issue Paper #2 November 20, 2007

Tax credits have been used in a variety of policy areas to encourage increased investments in programs seen as “social goods,” such as clean energy and charitable donations. This paper explores financing strategies for early childhood programs by examining whether carefully crafted individual or business tax credits/deductions could 1) help finance early care and education and 2) spur additional private investment and create incentives for families to use, and early childhood program to offer, high-quality services.

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Subject: Child Care