Tax credit for COVID-19 related paid leave extended to Sept. 30

The requirement for employers to provide paid sick and family leave under the Families First Coronavirus Response Act (FFCRA) expired on Dec. 31, 2020.

Our colleagues at SESCO Management Consultants note that employers with less than 500 employees that voluntarily provided paid leave after Dec. 31, 2020 are able to claim a federal tax credit for paid leave provided through March 31, 2021. Legislation passed by Congress and soon to be signed into law by President Joe Biden will extend the federal tax credit through Sept. 30, 2021, according to the firm.

SESCO Management Consultants is monitoring and reporting on developments related to the COVID-19 pandemic and is posting updates in the firm’s COVID-19 Resource Center as additional information becomes available.