Current Kentucky status
Kentucky's active ECCAP program can match a participating employer's eligible child-care contribution at an income-based rate, subject to program funding, provider and employee eligibility, and annual application requirements; separate federal Section 45F relief may be available only for qualifying expenditures and eligible taxpayers under IRS rules.
Verified programs and resources
Employee Child Care Assistance Partnership (ECCAP)
active; employer, employee/family, and CHFS share eligible child-care costs.
Kentucky Child Care Assistance Program (CCAP)
active state child-care assistance program; applicants must meet 922 KAR 2:160 requirements.
Kentucky All STARS
official provider quality-rating requirement relevant to ECCAP provider eligibility.
Federal Section 45F
For qualifying 2026 expenditures, the IRS describes a 40% credit for qualified child-care expenditures, or 50% for an eligible small business, plus 10% for qualified resource-and-referral expenditures. Statutory caps, facility, licensing, employee-access, nondiscrimination, tax-liability and no-double-benefit rules apply.
Frequently asked questions
Kentucky's active ECCAP program can match a participating employer's eligible child-care contribution at an income-based rate, subject to program funding, provider and employee eligibility, and annual application requirements;
Section 45F is not automatic. The IRS says a taxpayer may be eligible only when it pays or incurs qualified child-care or resource-and-referral expenditures and meets the applicable facility, contract, licensing, employee-access, nondiscrimination, and other statutory requirements. Use Form 8882 to claim the credit and consult a tax professional for the employer’s actual arrangement.
State family-assistance and employer-incentive programs have their own enrollment, funding, provider, income, activity, tax, and documentation rules. Check the official agency links on this page before relying on a benefit or availability.
Official sources
Last Updated: September 27, 2026