A bill to amend the Internal Revenue Code of 1986 to establish a credit for adult child caregivers.

Financial Relief for Caregivers: The bill establishes a credit of $2,000 for each qualified relative, providing a direct tax benefit to those providing care within the home (Sec. 2, subsection a).

Support for Multigenerational Living: The bill's findings suggest that living in multigenerational homes can lead to less depression and isolation for older adults, as well as improved cognition (Sec. 1).

Reduced Transition to Nursing Homes: The findings state that an older adult with dementia and disability who lives with an adult child has a 50 percent lower risk of moving from the community to a nursing home within two years (Sec. 1).

Reduced Need for Formal Care: The bill finds that proximity of an adult child to an older adult may be linked to a reduced need for formal care (Sec. 1).

Income Limitations on the Credit: The $2,000 credit amount is reduced by 1 percent for every dollar that a taxpayer's adjusted gross income exceeds $75,000, or $150,000 for joint returns (Sec. 2, subsection a, paragraph 1).

Restrictions on Number of Relatives: An individual can only claim a credit for a maximum of two qualified relatives per tax year (Sec. 2, subsection a, paragraph 3).

Strict Residency and Time Requirements: To be eligible, the caregiver must live with the relative for at least 6 months and provide at least 10 hours of assistance per week (Sec. 2, subsection a, paragraph 1).

Mandatory Documentation: The caregiver must include an attestation signed by a licensed health care provider with their tax return to prove the relative meets specific assistance requirements (Sec. 2, subsection a, paragraph 1, clause E).

Rules for Married Taxpayers: If a taxpayer is married, they must file a joint return with their spouse for this section to apply (Sec. 2, subsection a, paragraph 4).