FFCRA: tax credits, paid sick leave, economic injury disaster loans, and more |
Written by Christy Eull |
Tuesday, April 07, 2020 03:00 AM |
The first of three relief packages approved to date by Congress was HR 6201, Families First Coronavirus Response Act (FFCRA). It was passed on March 18 and took effect April 1, 2020. On April 3, the US Department of Labor (DOL) announced additional guidance regarding paid sick leave and expanded family and medical leave from the act. The materials include:
DOL’s Employment & Training Administration has also issued a letter related to the act that provides instructions for implementing the law’s provisions: UNEMPLOYMENT INSURANCE PROGRAM LETTER No. 13-20 provides states with “instructions for implementing the Families First Coronavirus Response Act, Public Law (Pub. L.) 116-127, specifically Division D, the Emergency Unemployment Insurance Stabilization and Access Act of 2020 (EUISAA).” Additional guidance and regulations can be found in the temporary rule regarding FFCRA implementation. A quick overview of the act’s key provisions:
Tax credits related to FFCRA IRS explains that FFCRA “provides small and midsize employers refundable tax credits that reimburse them, dollar-for-dollar, for the cost of providing paid sick and family leave wages to their employees for leave related to COVID-19.” Learn more. Note that employers may not use the same wages to count for both the FFCRA refundable tax credit and the CARES Act employee retention credit. Read more IRS guidance on these tax credits. Small Business Majority’s COVID-19 daily updates for small businesses: smallbusinessmajority.org/covid-19-daily-updates-for-small-businesses Has your company applied for the Paycheck Protection Program (PPP) or an Economic Injury Disaster Loan (EIDL)? Tell us about your experience. Read more in this issue of Colorado Green NOW: |