HR5334119th CongressWALLET

SEED Act

Sponsored By: Representative Panetta, Jimmy [D-CA-19]

Passed House

Summary

Expands the educator expense deduction to early childhood teachers. The bill would let preschool and other early-childhood educators claim the same federal educator deduction now available to kindergarten through grade 12 teachers.

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  • A qualifying childcare setting: A facility counts as a "school" for this deduction if it provides educational or childcare services for more than two children under age six and operates at public expense or receives fees, payments, or grants. This covers facilities whether they operate for profit or not.
  • K–12 clarification and label change: For kindergarten through grade 12, "school" remains defined under State law and the deduction's heading is renamed to explicitly include early childhood teachers.
  • Timing: The change would apply to expenses paid or incurred in tax years beginning after December 31, 2025.

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Bill Overview

Analyzed Economic Effects

1 provisions identified: 1 benefits, 0 costs, 0 mixed.

Tax break for early childhood teachers

If enacted, early childhood teachers would qualify for the educator expense tax deduction, like K-12 teachers. Your workplace would need to serve more than two children under age six who do not live there. It would also need to be publicly funded or receive fees, payments, or grants for those services. It would not matter if the facility is for-profit or nonprofit. These changes would apply to expenses paid in tax years that begin after December 31, 2025.

Sponsors & CoSponsors

Sponsor

Panetta, Jimmy [D-CA-19]

CA • D

Cosponsors

  • Rep. Fitzpatrick, Brian K. [R-PA-1]

    PA • R

    Sponsored 9/11/2025

  • Rep. Goodlander, Maggie [D-NH-2]

    NH • D

    Sponsored 9/11/2025

  • Rep. Valadao, David G. [R-CA-22]

    CA • R

    Sponsored 9/11/2025

  • Davis (IL)

    IL • D

    Sponsored 9/11/2025

  • Mullin

    CA • D

    Sponsored 9/11/2025

  • Pingree

    ME • D

    Sponsored 9/11/2025

  • Rep. Carter, Troy A. [D-LA-2]

    LA • D

    Sponsored 9/11/2025

  • Craig

    MN • D

    Sponsored 9/11/2025

  • Rep. Pappas, Chris [D-NH-1]

    NH • D

    Sponsored 9/11/2025

  • Rep. Neguse, Joe [D-CO-2]

    CO • D

    Sponsored 9/11/2025

  • Rep. Lawler, Michael [R-NY-17]

    NY • R

    Sponsored 9/15/2025

  • Rep. Sorensen, Eric [D-IL-17]

    IL • D

    Sponsored 9/17/2025

  • Rep. Bynum, Janelle S. [D-OR-5]

    OR • D

    Sponsored 9/30/2025

  • Friedman

    CA • D

    Sponsored 9/30/2025

  • Rep. Gottheimer, Josh [D-NJ-5]

    NJ • D

    Sponsored 10/14/2025

  • Rep. Olszewski, Johnny [D-MD-2]

    MD • D

    Sponsored 10/21/2025

  • Rep. Tokuda, Jill N. [D-HI-2]

    HI • D

    Sponsored 11/7/2025

  • Bresnahan

    PA • R

    Sponsored 12/19/2025

  • Rep. Subramanyam, Suhas [D-VA-10]

    VA • D

    Sponsored 1/7/2026

  • Rep. Suozzi, Thomas R. [D-NY-3]

    NY • D

    Sponsored 1/20/2026

  • Rep. Thanedar, Shri [D-MI-13]

    MI • D

    Sponsored 2/4/2026

  • Kean

    NJ • R

    Sponsored 2/9/2026

  • Rep. Tlaib, Rashida [D-MI-12]

    MI • D

    Sponsored 2/23/2026

Roll Call Votes

No roll call votes available for this bill.

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