New Law Requires Employers to Pay Certain Benefits to Employees Affected by Coronavirus with the Federal Government Covering the Cost

April 8, 2020

Kaylyn Varnum, CPA
Michele Wales, CPA
Mike Batts, CPA

The contents of this article will be updated periodically as new and clearer guidance becomes available.

Updated on April 8, 2020 for additional guidance issued by the U.S. Department of Labor and the IRS through April 8, 2020.

Emergency Paid Sick Leave in connection with COVID-19
and
Emergency Family and Medical Leave in connection with COVID-19

On Wednesday, March 18, 2020 Congress passed and President Trump signed into law the Families First Coronavirus Response Act (FFCRA), requiring employers to provide certain sick pay and family medical leave benefits to eligible employees affected by the coronavirus pandemic.  The FFCRA requires the federal government to cover the cost of the required benefits on an almost real-time basis via refundable payroll tax credits.  While there are still some areas of the new law that lack clarity, we have summarized the currently available guidance regarding required payments and the related payroll tax credits below, along with Q&A and Examples to help your organization digest the technical provisions therein.

Click here for the entire article.

 

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