On June 11, 2021, the IRS released updated Frequently Asked Questions (FAQs) concerning the available tax credits for eligible employers (under 500 employees) that voluntarily provide paid employee leave under the Families First Coronavirus Response Act (FFCRA). The paid sick and family leave credits were enhanced and extended under the American Rescue Plan Act (ARPA), enacted in March 2021 to assist families and small businesses with the stressors placed on society as a result of the COVID-19 pandemic. There are 123 new FAQs, divided into 16 subtopics. The new IRS FAQs cover areas such as filing for, computing, and receiving advance payment for the employer tax credits, as well as interaction of ARP tax credits with other tax credits.
Contact your Cowden representative for more information on this or other compliance issues.