IRS Offers Guidance for Employers Claiming Tax Credit for Leave Due to COVID-9

Eligible employers may claim a tax credit for paid sick and family leave for leave due to COVID-19 taken April 1, 2021-September 30, 2021. The Internal Revenue Service (IRS) has published guidance for eligible employers (any business, including tax-exempt organizations, with fewer than 500 employees) on how to claim the credits on their Form 941 quarterly federal tax return (see Form 941 instructions) as well as how to request an advance payment of the credits to cover amounts provided as paid sick and family leave wages (see Form 7200, Advance Payment of Employer Credits Due to COVID-19). For more details, see IRS guidance.