Individual Tax Credit
What is it?
A refundable tax credit for eligible staff and self-employed individuals working in programs that participate in Step Up to Quality.
Who can apply?
Anyone who meets or exceeds the base requirements in the areas of education, training and work experience can (and should!) apply for this tax credit. Use the charts below to see if you qualify — and how much your refund could be.
Note: Certified teachers working in public school programs are not eligible.
|Level 1||All Base Requirements||$540|
|Level 2||7 – 9 Points||$810|
|Level 3||10 – 12 Points||$1,350|
|Level 4||13 – 15 Points||$1,620|
These amounts may vary slightly depending on inflation.
|CDA or one-year certificate/diploma in Early Childhood Education or Child Development||Base Requirement|
|Associate’s Degree in Early Childhood Education/Child Development||3 Points|
|Bachelor’s Degree or above in a related field**||4 Points|
|Bachelor’s Degree or above in Early Childhood Education or Child Development||5 Points|
|12 clock hours of NDE verified/approved training||Base Requirement|
|15 clock hours of NDE verified/approved training||3 Points|
|24 clock hours of NDE verified/approved training||4 Points|
|30 clock hours of NDE verified/approved training||5 Points|
|At least 6 months of employment in an eligible program* during the tax year||Base Requirement|
|At least 1 year experience working in an early care and education environment (including 6 month base requirement)||3 Points|
|At least 2 years of experience working with children in an early care and education environment (including 6 month base requirement)||4 Points|
|At least 3 years of experience working with children in an early care and education environment (including 6 month base requirement)||5 Points|
*Eligible programs are defined as ones participating in Step Up to Quality (at a Step 1 rating or higher). Applicant must have worked in an eligible program for at least 6 months during the tax year.
**Related fields include Elementary Education, Early Childhood Special Education, Curriculum and Instruction, Social Work, Nursing, Psychology, Human Development & the Family, Family Consumer Science, Youth Development, Mental Health/Counseling.
|Training||24 hours of training||4 Points|
|Work Experience||3 years of experience
(including 6 month base requirement)
How to Apply
- A tax credit attestation application must be completed in the Nebraska Early Childhood Professional Record System (NECPRS). The deadline to apply in NECPRS is February 1, 2022.
- Once received, the eligible staff member must submit their attestation form along with their Department of Revenue Staff Member Application to the Department of Revenue to apply for the tax credit by March 1, 2022.
- Claim your tax credit by attaching the tax credit certification from the Department of Revenue to your individual income tax return.
Watch a video tutorial on how to apply for your tax credit attestation form in NECPRS: