Letter to the Editor: Caregiver Tax Credit Act

Dear Editor,

The Caregiver Tax Credit Act was passed during the 2024 Nebraska legislative session and will take effect on January 1, 2025. This groundbreaking legislation makes Nebraska only the second state in the nation to adopt an expansive tax credit to support unpaid family caregivers, a step that will have a meaningful impact on countless families in our state.

Nearly 36,000 Nebraskans aged 65 and older are currently living with Alzheimer’s disease. These individuals are supported by more than 40,000 unpaid family caregivers, who provide critical care and assistance, often at great personal and financial cost. The Caregiver Tax Credit Act offers support to these caregivers by providing a nonrefundable tax credit to help cover out-of-pocket expenses for services directly related to the care of an eligible family member.

For most participants, the tax credit is capped at $2,000 annually. However, those caring for veterans or individuals with a dementia-related diagnosis, such as Alzheimer’s, may qualify for an enhanced credit of up to $3,000. There are no age restrictions to qualify for the credit, making it widely accessible to Nebraska families.

The Alzheimer’s Association Nebraska Chapter has long advocated for increased support for caregivers, and this legislation marks a significant step forward in recognizing their invaluable contributions. Family caregivers are the backbone of our long-term care system, and this tax credit provides much-needed financial relief to help them continue their vital work.

I encourage readers to learn more about the Caregiver Tax Credit Act and how it may benefit families across Nebraska. Together, we can ensure that caregivers receive the support and recognition they deserve.

Sincerely,

Angel Horton Frank

Executive Director, Alzheimer’s Association – Nebraska Chapter