President Biden Announces Tax Credit for Small Businesses Offering Paid Leave for Vaccination
President Biden announced a paid leave tax credit for small- and medium-sized businesses to allow employers to fully offset the cost of paid leave for employees to get vaccinated and recover from any after-effects of the vaccination.
Eligible employers include businesses and nonprofits with fewer than 500 employees. The credit will offset the cost of paid leave for each employee for up to two weeks (or 80 work hours) and up to $511 per day of paid leave offered between April 1 and Sep. 30, 2021.
To learn more about eligibility for this tax credit, and how to claim the paid leave credit on quarterly tax filings, employers can review this fact sheet from the Internal Revenue Service.