A Democratic bill with 1 Democratic cosponsor · See the cosponsor
Last activity — Read twice and referred to the Committee on Finance.
In committee
Introduced and handed to a committee in the chamber it started in.
The committee holds it, and most bills are never heard from again. A hearing or a committee vote would be news; silence is the usual outcome, and it kills the bill without anyone voting against it.
Its path through Congress
- Introduced
- In Committee
What this bill would do
This bill is known as the Americans Giving Care to Elders Act of 2026, or the AGE Act of 2026. It amends the Internal Revenue Code of 1986 to provide an income tax credit for eldercare expenses. The credit is available to individuals who have one or more qualifying individuals requiring assistance with daily living. The applicable percentage for the credit starts at 20 percent and is reduced based on the taxpayer's adjusted gross income exceeding $120,000. The bill outlines specific definitions for qualifying individuals, eldercare expenses, dollar limitations, and special rules.
Yes· 3 of 30
- Scored +6
Would people over 65 be better off under this?
Directly benefits seniors requiring assistance with activities of daily living by making care more affordable.
- Scored +5
Would people in middle age be better off under this?
Middle-aged adults frequently bear the brunt of caring for aging parents while balancing work.
- Scored +5
Would households on low incomes be better off under this?
Provides a tax credit to offset significant care burdens, though structured with phase-outs.
The opposite
No question was scored the opposite.
Who it would affect, and how
Potential Positive Impacts for People
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Tax Credit for Eldercare Expenses: Section 2(a) introduces a new section 25G to the Internal Revenue Code, which allows individuals to claim an income tax credit for eldercare expenses paid for a qualifying individual. This could provide financial relief to families caring for older relatives.
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Coverage of Diverse Care Services: Section 2(a) defines eldercare expenses under section 25G(b)(2) to include medical care, adult day services, personal care, respite care, assistive technologies, environmental modifications, and caregiver counseling or training. This allows individuals to receive support for a wide variety of practical care needs.
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Support for Relatives and Household Members: Section 2(a) defines a qualifying individual under section 25G(b)(1) to include parents, grandparents, in-laws, stepparents, and any other person sharing the same principal place of abode as the taxpayer who has attained age 65 and requires assistance with activities of daily living. This ensures that a broad group of family members living together can be the basis for the credit.
Potential Negative Impacts for People
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Income-Based Reductions: Section 2(a) states under section 25G(a)(2) that the applicable percentage for the credit is reduced by 1 percentage point for each $4,000 that the taxpayer's adjusted gross income exceeds $120,000. This means taxpayers earning above $120,000 will receive a reduced tax credit or none at all.
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Dollar Limits on Expenses: Section 2(a) limits the amount of eldercare expenses that can be taken into account to $6,000 per taxable year under section 25G(c)(1). Furthermore, this dollar limit is reduced by any amounts excluded from gross income under section 129 for the taxable year pursuant to section 25G(c)(2).
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Restrictions on Payments to Related Individuals: Section 2(a) specifies under section 25G(d)(1) that no credit is allowed for any amount paid to an individual for whom a deduction under section 151(c) is allowable to the taxpayer or the taxpayer's spouse. This prevents taxpayers from claiming the credit for payments made to certain related individuals they claim as dependents.
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Tap or hover a score for the reason it gave.
- Demographic And Interest Groups
- Would people over 65 be better off under this? — Directly benefits seniors requiring assistance with activities of daily living by making care more affordable. Would households on low incomes be better off under this? — Provides a tax credit to offset significant care burdens, though structured with phase-outs. Would people in middle age be better off under this? — Middle-aged adults frequently bear the brunt of caring for aging parents while balancing work. Would middle-income households be better off under this? — Provides direct financial relief through tax credits for eldercare expenses. Would retired people be better off under this? — Directly supports retirees needing assistance with daily living expenses and care. Would people with disabilities be better off under this? — Aids individuals requiring assistance with activities of daily living. Would women be better off under this? — Women statistically shoulder a disproportionate amount of caregiving labor and benefit heavily from financial relief. Would veterans be better off under this, taking everything together? — Aids aging veterans who require eldercare support within households. Would people in their twenties and thirties be better off under this? — Helps younger adults who take on caregiving responsibilities for older family members. Would Black Americans be better off under this? — Provides general support for family caregivers across diverse communities. Would Asian Americans be better off under this? — Provides general support for family caregivers across diverse communities. Would business owners be better off under this? — Supports private eldercare centers and service providers. Would Hispanic Americans be better off under this? — Provides general support for family caregivers across diverse communities. Would men be better off under this? — Benefits male family caregivers. Would Native Americans be better off under this? — Provides general support for family caregivers across diverse communities. Would people in rural areas be better off under this? — Benefits rural residents who often face shortages of local eldercare infrastructure. Would people in cities be better off under this? — Benefits urban residents utilizing eldercare services. Would white Americans be better off under this? — Provides general support for family caregivers across diverse communities.
- Economy And Finance
- Does this cut taxes for middle-income families? — Provides a tax credit for eldercare expenses, reducing tax burdens for middle-class families caring for older relatives. Does this make it easier to run a small business? — Supports small businesses and care centers providing eldercare and adult day services. Is this likely to create jobs? — Creates incentives and demand for eldercare services, potentially supporting care provider jobs. Is this likely to grow the economy? — Eases financial strains on working caregivers, enabling better labor force participation.
- Social Issues And Justice
- Does this expand the rights of people with disabilities? — Assists individuals requiring help with activities of daily living. Does this narrow the gap between how men and women are treated? — Women disproportionately serve as family caregivers, so this credit provides targeted financial relief. Is this likely to lift people out of poverty? — Reduces out-of-pocket eldercare expenses for lower- and middle-income families, preventing care-related financial distress.
- Healthcare
- Does this make health care easier to get in general? — Helps offset costs of medical care, assistive technologies, and personal care for older individuals. Does this make mental health care easier to get? — Provides tax credits that can cover caregiver counseling and training. Does this help veterans get medical care? — Veterans who are elderly and require assistance can benefit from family-provided care supported by the credit.
- National Security And Foreign Policy
- Does this increase the pay, pensions or support veterans receive? — Helps veteran families offset eldercare costs.
- Governance And Ideology
- Does this give the federal government more power? — Introduces a new federal tax credit program administered by the IRS.
- 6/1/2026
- Read twice and referred to the Committee on Finance.
- 1 Cosponsor added.
- Introduced in Senate
Tina SmithDemocrat · Minnesota