# Plain Language Summary: Americans Giving Care to Elders (AGE) Act of 2021

The AGE Act is a tax bill designed to help family members who take care of elderly relatives. Right now, if you're caring for an aging parent, grandparent, or other older family member at home, you generally can't deduct those caregiving expenses from your taxes—even though you're spending real money on their care. This bill would change that by allowing people to claim a tax credit (essentially money back from the government) for certain caregiving costs they pay out of their own pocket.

The bill targets people who are providing hands-on care to seniors in their homes rather than placing them in nursing facilities or assisted living centers. If you're buying medical supplies, paying for in-home health aides, or covering other direct care expenses for a qualifying elderly relative, you could potentially reduce your tax bill. This is meant to make it more affordable for families to keep elderly relatives at home and provide care themselves, rather than forcing them into institutional settings due to financial pressure.

The practical effect is that family caregivers would get some financial relief through the tax system. Instead of bearing the full cost of elder care alone, you'd be able to recover some of that money when you file your taxes. This could make a real difference for middle-class families stretched thin by caregiving responsibilities, though the exact amount of relief would depend on how much you spend and your income level. The bill essentially recognizes that family caregiving is valuable work that deserves some tax support.

Americans Giving Care to Elders (AGE) Act of 2021

Klobuchar, Amy

Americans Giving Care to Elders (AGE) Act of 2021 This bill allows a tax credit for a portion of a taxpayer's expenses for eldercare. The credit applies to expenses to care for certain relatives or members of the taxpayer's household who have attained the age of 65 and require assistance with activities of daily living. Eldercare expense include amounts paid for: <ul> <li> medical care, </li> <li> lodging away from home, </li> <li> adult day services, </li> <li> personal care, </li> <li> respite care, </li> <li> assistive technologies and devices (including remote health monitoring), </li> <li> environmental modifications (including home modifications), and </li> <li> counseling or training for a caregiver. </li> </ul> The amount of eldercare expenses incurred during any year that may be taken into account for the credit may not exceed $6,000.