To amend the Internal Revenue Code of 1986 to make the dependent care credit refundable, and for other purposes.

Repeals the Internal Revenue Code's nonrefundable income tax credit for employment-related dependent care expenses, replacing it with a corresponding refundable 50 percent credit, reduced (but not below 20 percent) as the taxpayer's adjusted gross income exceeds $30,000 (adjusted for inflation). Includes within the scope of the new credit up to $2,400 ($4,800 in the case of two or more qualifying individuals) of respite care expenses incurred in the care of: (1) a dependent of the taxpayer who is under the age of 13 years old; (2) a dependent who is physically or mentally incapable of self-care; or (3) a spouse who is physically or mentally incapable of self-care.