The just-passed Families First Coronavirus Response Act of 2020 mandates that employers of businesses with fewer than 500 employees provide paid leave through the Family Leave Act to qualified workers affected by COVID-19.
The act “also provides tax credits to businesses in such cases to help cover these costs,” according to Tire Industry Association (TIA) officials. “Exact details, however, are still being worked out.”
“The law clearly is aimed at helping employees impacted by the virus, but it also has tax implications for our small business owners as they strive to maintain their operations with the possibility of employees absent from the business,” says TIA CEO Dr. Roy Littlefield Jr.
“As this Act is so new, the agencies currently are working to interpret it and write the regulations. We are in contact with these agencies and as soon as we know further how the regulations will affect TIA members and their businesses, we will communicate this.”
President Trump signed the Families First Coronavirus Response Act of 2020 into law March 18. The Act will take effect on or by April 2.
TIA Director of Government Affairs Roy Littlefield IV participated in a town hall event staged by the Small Business Administration Office of Advocacy today that was attended by some 1,500 associations and small business owners. “All of those listening in were trying to get answers about the Act, just as we were,” he notes.
TIA says it will update its members on the Families First Coronavirus Response Act of 2020 “and other legislative initiatives related to the coronavirus as information becomes available. The association encourages all members to study these regulations and talk with their tax advisors before making any decisions.”