News & Analysis as of

Paid Leave Internal Revenue Code (IRC)

Jackson Lewis P.C.

Employers Who Administer PFML Programs Get Much-Needed Guidance from IRS

Jackson Lewis P.C. on

In response to taxpayer and state government requests, including a 2024 letter from governors of nine states imploring the Internal Revenue Service (IRS) to clarify the federal tax treatment of premiums and benefits under...more

McDermott Will & Emery

How Employers Can Aid Employees Impacted by the Los Angeles Wildfires

McDermott Will & Emery on

Over the past two weeks, wildfires have caused substantial loss and damage to homes and communities in Los Angeles, California, and the surrounding areas. In the wake of such devastation, employers may seek opportunities to...more

Morgan Lewis

Employers Can Aid Wildfire Victims with Out-of-Pocket Expenses, Paid Leave, and Through Tax-Exempt Organizations

Morgan Lewis on

Many individuals are in desperate need of funds due to injuries, damage, and other unexpected expenses caused by the ongoing wildfires in Los Angeles. Employers can aid wildfire victims with tax-free payments, paid leave, and...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

IRS Provides Guidance on PTO Donation Programs to Aid Victims of Hawaii Wildfires

On September 28, 2023, the Internal Revenue Service (IRS) issued updated guidance for employers that have adopted or are considering leave-based programs that allow employees to donate sick, vacation, or personal leave to...more

Bond Schoeneck & King PLLC

Updated Guidance Regarding Tax Credits Under the American Rescue Plan

Under the American Rescue Plan (ARP), certain private-sector and governmental employers may claim refundable tax credits which provide reimbursement for the cost of providing Families First Coronavirus Response Act (FFCRA)...more

Jackson Lewis P.C.

American Rescue Plan Act Extensions, Changes To Select Tax Credit, Compensation Deduction Provisions

Jackson Lewis P.C. on

The American Rescue Plan Act of 2021 expands upon some popular tax credit provisions and makes other changes to a key tax provision regarding compensation deduction limitations. These changes are summarized below...more

Snell & Wilmer

IRS Confirms Major Disaster Leave-Sharing Program Use for COVID-19 Pandemic

Snell & Wilmer on

On August 3, 2020, the IRS posted a short set of frequently asked questions for leave-sharing programs which confirm that major disaster leave-sharing programs under IRS Notice 2006-59 can be used for employees who have been...more

Snell & Wilmer

IRS Approves Additional Leave-Based Donation Programs for COVID-19 Relief

Snell & Wilmer on

We previously posted about two leave-sharing programs available to employers during the COVID-19 pandemic: major disaster leave-sharing programs and medical emergency leave-sharing programs. These leave-sharing programs may...more

ArentFox Schiff

Treasury and IRS Release FAQs On Paid Sick and Family Leave Tax Credits for Small and Mid-Size Employers

ArentFox Schiff on

The U.S. Department of the Treasury and the Internal Revenue Service have published more information on refundable tax credits that reimburse small and mid-size employers, on a dollar-for-dollar basis, for the cost of...more

Verrill

Leave Sharing Programs: A Critical Bridge for Employees Affected by COVID-19

Verrill on

The federal government may soon be providing paid leave assistance to employees affected by COVID-19. In the meantime, however, employers that maintain leave sharing programs can leverage those programs to help soften the...more

Dickinson Wright

Determining Eligibility for the Employer Credit for Paid Family and Medical Leave

Dickinson Wright on

Section 45S of the Internal Revenue Code (“Code”), added to the Code by the Tax Cuts and Jobs Act of 2017, establishes a general business credit for an employer who provides paid family and medical leave to qualifying...more

Vedder Price

IRS Issues Notice 2018-71 to Clarify Tax Credit for Paid Medical Leave

Vedder Price on

Any employer who offers employees paid family or medical leave may benefit from the new Internal Revenue Code Section 45S, added by the Tax Cuts and Jobs Act and clarified on September 24, 2018 by Internal Revenue Service...more

Verrill

New Tax Credit for Paid Leave: What Benefits Professionals Should Know

Verrill on

The 2017 Tax Cuts and Jobs Act contains a two-year pilot project, developed by Senators Angus King (I-ME) and Deb Fischer (R-NE), that provides a tax credit to employers that offer at least two weeks of paid leave to low and...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Beltway Buzz - November, 2017 #2

Now You See It, Now You Don’t—Revised House and Senate Tax Reform Proposals Differ in Treatment of Executive Compensation. As we reported in last week’s Beltway Buzz, the House introduced its tax reform proposal last...more

Burr & Forman

Employee’s Maternity Leave Resulted in a “Deemed Distribution” of 401(k) Plan Loan

Burr & Forman on

A recent Tax Court decision suggests that employers may want to review their 401(k) plan loan programs and payroll practices. In Louelia Salomon Frias and Mervyngil Salomon v. Commissioner, TC Memo 2017-139 (July 11, 2017),...more

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