Federal Spotlight – Optional Family and Medical Leave Credit Provision in Tax Bill
February 8, 2018
The tax reform bill that passed in December has received much coverage in the news for the savings businesses and individuals will see in 2018. However, there were other provisions that may not be as well known. According to UWC, a national organization focused on unemployment and workers’ compensation policy, the Tax Cuts and Jobs Act recently signed into law includes a provision that allows for an optional family and medical leave tax credit for employers to implement. Sen. Deb Fisher (R-NE) was instrumental in getting this particular section included in the overall bill. The purpose of the optional tax credit is to encourage employers to voluntarily provide paid family leave versus a mandate. The incentive of a tax credit versus a government mandate is seen as one way to bring costs down for employers who decide to provide employees with this benefit.