1. Short title This Act may be cited as the 21st Century Child Care Investment Act . 2. High quality child care tax credit (a) In general Subpart A of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting before section 26 the following new section: 25E. High quality child care credit (a) In general In the case of an individual who elects the application of this section for the taxable year, there shall be allowed as a credit against the tax imposed by this chapter an amount equal to the applicable amount of high quality child care expenses paid by such individual during the taxable year with respect to a qualifying child. (b) Limitation (1) In general The amount of the high quality child care expenses which may be taken into account under subsection (a) with respect to each qualifying child of the taxpayer shall not exceed— (A) $14,000 for each qualifying child who has not attained the age of 3 by the end of the taxable year, and (B) $5,000 for each qualifying child who has attained the age of 3 by the end of the taxable year. (2) Adjusted gross income limitation The dollar limitation under paragraph (1)— (A) shall be zero under subparagraph (A) thereof in the case of a taxpayer whose adjusted gross income for the taxable year exceeds an amount equal to 400 percent of the poverty line, and (B) shall be zero under subparagraph (B) thereof in the case of a taxpayer whose adjusted gross income for the taxable year exceeds an amount equal to 200 percent of the poverty line. (c) Portion of credit refundable (1) In general The aggregate credits allowed to a taxpayer under subpart C shall be increased by the difference of— (A) the credit which would be allowed under this section without regard to this subsection and the limitation under section 26(a), over (B) the taxpayer’s applicable family contribution. The amount of the credit allowed under this subsection shall not be treated as a credit allowed under this subpart and shall reduce the amount of credit otherwise