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Buchanan's workforce childcare tax credit expansion bill ceremonially signed by governor

FOR IMMEDIATE RELEASE

STATEHOUSE (April 29, 2026) — A bill sponsored by State Sen. Brian Buchanan (R-Lebanon) that expands eligibility for the state's childcare tax credit was ceremonially signed by the governor today.

House Enrolled Act 1177 incentivizes more businesses to offer childcare for their workers by increasing the number of employees a business can have up to 500 to receive the credit, an increase from 100 employees under previous state law.

"As chairman of the Senate Committee on Commerce and Technology, I've heard from business leaders across the state of the lack of access to reliable and affordable childcare options, keeping many Hoosier parents out of the workforce," Buchanan said. "Childcare is a vital part of our state's economy, and finding ways to increase access is important as Indiana continues to attract new businesses to our communities."

Eligible businesses can now claim the tax credit for operating costs, not just start-up costs, and for payments to unaffiliated childcare providers on behalf of their employees.

"House Enrolled Act 1177 is a great step forward toward access to childcare in Indiana, and I look forward to working with my colleagues and other state leaders to find innovative ways to ensure our children are well cared for and parents can find the higher-wage jobs Indiana is attracting," Buchanan said.

Buchanan encourages residents of Senate District 7 to contact him with any questions or comments they may have. Buchanan can be reached by filling out a "Contact Me" form online at www.IndianaSenateRepublicans.com/Buchanan or by phone at 800-382-9467.

Photo caption: State Sen. Brian Buchanan (R-Lebanon, to the right of the governor) attends a ceremonial bill signing of House Enrolled Act 1177, which he sponsored to expand eligibility for the state's childcare tax credit.

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State Sen. Brian Buchanan (R-Lebanon) represents Senate District 7,
which includes portions of Boone, Clinton, Hendricks and Montgomery counties.
Click here to download a high-resolution photo.

Contact: Lance Gideon, Senior Press Secretary
Lance.Gideon@iga.in.gov
317-234-9221