The IRS recently released FAQs regarding the Paid Family & Medical Leave employer credit and indicated that additional guidance will be forthcoming. The FAQs provide a helpful summary of the credit eligibility rules. They also clarify that the wages used for this credit may not be used for other business credits and deductions must be reduced for any wages related to the credit by the amount of the credit.
The temporary tax credit, effective for 2018 and 2019, is for employers that provide paid family and medical leave. The credit is available for up to 12 weeks of paid family and medical leave per tax year.
Download the FAQs. Stayed tuned to our blog for the latest information.