Thursday, April 1, 2021
On March 11, 2021, President Biden signed into law the American Rescue Plan Act (ARPA), which extends and expands several provisions of the Families First Coronavirus Response Act (FFCRA).
Tax Credit Extensions
As employers will recall, the FFCRA tax credit had been extended through March 31, 2021 to qualifying employers that voluntarily chose to continue to provide Emergency Paid Sick Leave (EPSL) or Emergency Paid Family Leave (EPFL). The ARPA has now extended the FFCRA from April 1, 2021 through September 30, 2021.
Emergency Paid Sick Leave and Emergency Paid Family Leave Extensions
Under the ARPA, employers are eligible for the tax credit if employers voluntarily provide employees up to 80 hours of EPSL from April 1, 2021 through September 30, 2021. This includes employees who have already used their 80 hours under the FFCRA, essentially creating a refresh of EPSL for all employees.