Bill Would Give Tax Credit to Family Caregivers for Alzheimer's, Other Conditions

A bipartisan bill in the Wisconsin Legislature would set up a $1,000 tax credit for family caregiver expense, reports the Wisconsin State Journal . The bill is part of a package of proposals related to dementia and caregivers. Other measures would establish a certified dementia care specialist program, distribute Alzheimer's awareness grants, and allow Wisconsin courts to communicate with courts in other states about guardianship issues. "This is an attempt to ease the burden and the stress on the caregivers," says AARP Wisconsin's Helen Marks Dicks. The tax credit bill would permit adult family members with Alzheimer's or other conditions requiring assistance with daily living to claim half of qualified expenses for a credit of up to $1,000; the caregiver's annual income could not top $75,000 for an individual or $150,000 for a couple. Medicaid's Family Care and IRIS programs cover caregiving costs for low-income people, and some families can afford long-term care insurance, but many people pay out of pocket. "In many ways, these caregivers save taxpayers money by keeping loved ones out of costly nursing communities that are funded or subsidized by state tax dollars," notes Sen. Patrick Testin (R-Wis.). The Department of Revenue estimates the bill would cost $179 million annually, assuming 363,000 people claimed an average credit of $494. Marks Dicks says lawmakers want to reduce the cost by lowering the bill's income cap, reducing the tax credit amount for people with incomes near the cap, and requiring the care recipient be a Wisconsin resident.