Congressman Johnson Announces Tax Credit to Cover Cost of Paid Leave for Small Businesses through September

June 16, 2021
Press Release
Workers Can Use Leave to Get Vaccinated

 

Rep. Johnson Helped Secure Tax Credit through September in the American Rescue Plan

WASHINGTON, D.C. — Congressman Hank Johnson (GA-04) announced today that the IRS will continue to provide tax credits to help local small businesses cover the costs of providing paid sick and family leave for workers through September.

Along with using the leave to care for themselves and family who are sick, workers can also use leave to get their COVID vaccinations and take time off to recover from any temporary side effects from the shot. Research has shown that states where employees gained access to paid sick leave through this tax credit experienced a slow-down in the spread of COVID.

“Small businesses were hit especially hard by the pandemic in my district,” said Rep. Johnson. “This tax credit will help our community crush this virus and grow our economy by keeping paychecks in pockets, businesses open and workers safe.”

Thanks to the American Rescue Plan Rep. Johnson helped pass, employers with fewer than 500 employees can receive up to $17,110 per employee to provide employees with up to 10 days of paid sick leave and up to 12 weeks of paid family leave, from April 1 through September 30, 2021.

Certain self-employed business owners in similar circumstances are entitled to similar credits as are schools, public hospitals and other state and local government employers.

Businesses can access the advanceable, refundable tax credit in real-time by reducing their amounts they set aside to pay payroll taxes and employee withholding, and then claim any excess on their quarterly tax filings or request for an advance payment from the IRS.

Roughly 6 million businesses and more than 30 million workers are eligible.

Businesses can find more information to claim their credit HERE.

Office Locations

Recent Votes

Date Roll Call Bill Vote
7/29/2021 254 H.R.4300 Yea
7/29/2021 253 H.R.2497 Yea
7/29/2021 252 H.R.2278 Yea
7/29/2021 251 H.R.2278 Yea
7/29/2021 250 H.R.3237 Yea