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Paid Family and Medical Leave Tax Credit: Extension and Enhancements

This act modifies tax credits for employers offering paid family and medical leave. It aims to encourage companies to provide financial support to employees during life events like illness or family care. This means employees can expect greater financial security when taking leave.
Key points
Employers can now choose to calculate the tax credit based on wages paid for leave or on premiums for insurance policies covering such leave.
Rules for employee eligibility for paid leave have been updated to include individuals working at least 20 hours per week.
Government agencies, including the Small Business Administration and the Internal Revenue Service, will actively inform employers about available credits and how to claim them.
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Additional Information
Print number: 119_HR_996
Sponsor: Rep. Feenstra, Randy [R-IA-4]
Process start date: 2025-02-05