Jobs and Childcare for Military Families Act of 2021
This bill allows an employer a work opportunity tax credit for hiring the spouse or domestic partner of a member of the Armed Forces and requires the creation of programs for service members to pay for childcare on a pretax basis.
Specifically, an employer may receive a tax credit equal to 40% of a new employee's first-year wages if the employer hires a service member's spouse or domestic partner (as recognized under state law or by the Armed Forces). Currently, a similar tax credit exists for employers who hire certain disadvantaged individuals, including disadvantaged veterans.
The Department of Defense and the Department of Homeland Security (with respect to the Coast Guard) must implement flexible spending arrangements that permit members of the Armed Forces to use basic pay and compensation to pay on a pretax basis for dependent childcare.
To provide a work opportunity tax credit for military spouses and to 
 provide for flexible spending arrangements for childcare services for 
                           military families.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Jobs and Childcare for Military 
Families Act of 2021''.

SEC. 2. WORK OPPORTUNITY TAX CREDIT FOR MILITARY SPOUSES.

    (a) In General.--Section 51(d)(1) of the Internal Revenue Code of 
1986 is amended--
            (1) by striking ``or'' at the end of subparagraph (I);
            (2) by striking the period at the end of subparagraph (J) 
        and inserting ``, or''; and
            (3) by adding at the end the following new subparagraph:
                    ``(K) a qualified military spouse.''.
    (b) Qualified Military Spouse.--Section 51(d) of the Internal 
Revenue Code of 1986 is amended by adding at the end the following new 
paragraph:
            ``(16) Qualified military spouse.--The term `qualified 
        military spouse' means the spouse or domestic partner (as 
        recognized under State law or by the Armed Forces) of a member 
        of the Armed Forces.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to individuals who begin work for the employer after December 31, 
2019.

SEC. 3. FLEXIBLE SPENDING ARRANGEMENTS FOR CHILDCARE SERVICES FOR 
              MILITARY FAMILIES.

    (a) FSAs Required.--The Secretary concerned shall establish 
procedures to implement flexible spending arrangements with respect to 
basic pay and compensation for members of the Armed Forces for 
childcare services for dependent children of such members on a pre-tax 
basis in accordance with the regulations prescribed under sections 
106(c) and 125 of the Internal Revenue Code of 1986.
    (b) Considerations.--The procedures required by subsection (a) 
shall take into account the considerations specified in section 663(b) 
of the National Defense Authorization Act for Fiscal Year 2010 (Public 
Law 111-84; 123 Stat. 2371) and such other considerations as the 
Secretaries concerned consider appropriate.
    (c) Secretary Concerned Defined.--In this section, the term 
``Secretary concerned'' means the following:
            (1) The Secretary of Defense, with respect to members of 
        the Army, the Navy, the Marine Corps, and the Air Force.
            (2) The Secretary of Homeland Security, with respect to 
        members of the Coast Guard.
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Jobs and Childcare for Military Families Act of 2021
To provide a work opportunity tax credit for military spouses and to provide for flexible spending arrangements for childcare services for military families.
Jobs and Childcare for Military Families Act of 2021
Rep. Norcross, Donald