Employer Tax Credit for Paid Family and Medical Leave


Eligible employers who provide paid family and medical leave to their employees may qualify for a new business credit for tax years 2018 and 2019. Only paid family and medical leave provided to employees whose prior-year compensation was at or below a certain amount qualify for the credit. Generally, for tax year 2018, the employee’s 2017 compensation from the employer must have been $72,000 or less. Details are provided in Notice 2018-71.