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The American Rescue Plan Act of 2021 (ARP) allows small and midsize employers, and certain governmental employers, to claim refundable tax credits that reimburse them for the cost of providing paid sick and family leave to their employees due to COVID-19, including leave taken by employees to receive or recover from COVID-19 vaccinations.

The ARP tax credits are available to eligible employers that pay sick and family leave for leave from April 1 through Sept. 30, 2021.

Visit the IRS fact sheet webpage (www.irs.gov/newsroom/employer-tax-credits-for-employee-paid-leave-due-to-covid-19) to review eligible employers, types of paid sick and family leave the credits can be claimed for, as well as calculation of and how to claim the credit.

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— Compiled by Business Editor Joe Crews


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