Biden calls on all US employers to pay full-time workers for time missed due to vaccines

Joe Biden
President Joe Biden.

  • Joe Biden on Wednesday called on all US employers to give their workers paid time off to get vaccinated.
  • The president also reaffirmed his commitment to a paid-leave tax credit to help small businesses offset the cost of the time off.
  • This comes ahead of Biden’s upcoming announcement that the US met his goal of 200 million shots in 100 days.
  • See more stories on Insider’s business page.

President Joe Biden will announce on Thursday that the US met his vaccination goal of 200 million shots in 100 days. And on Wednesday, he announced new plans to ensure every American employee can get a shot.

A White House statement said that Biden is calling for every employer in America to provide paid time off to get vaccinated, which would include the time it takes to recover from any of the vaccine’s side effects. He also reaffirmed his commitment to a tax credit that will offset the cost for small businesses with fewer than 500 employees to provide full pay for workers who want to get a vaccine.

“Providing paid time off for vaccinations is an investment in the safety, productivity and health of an employer’s own workforce and their community,” the statement said. “No working person in this country should lose a single dollar from their paycheck to take time to get the shot or recover from it.”

The paid-leave tax credit was included in Biden’s $1.9 trillion stimulus law, and it ensures that “no small businesses or non-profits will lose a single dollar by providing such paid leave to workers receiving a vaccination.”

According to the White House, the credit will offset the cost for small businesses for up to $511 per day of paid sick leave offered between April 1 and September 30, and it will apply to nearly half of all private sectors in the country.

And along with the tax credit, Biden’s wants employers to help employees get vaccinated by making “commitments to provide accurate and timely information and incentivize all Americans to get vaccinated.” Those could include discounts for vaccinated people, product giveaways, or promotions.

Biden pledged in a March press conference that 200 million shots will be administered by the end of April, and on Monday, every American aged 16 and older became eligible for a vaccine.

“We have enough of it, you need to be protected, and you in turn need to protect your neighbors and your family,” Biden said in a video on Monday. “So please, get the vaccine.”

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Biden to throw support behind temporary extension of expanded child tax credit – meaning lower tax bills or higher refunds for qualifying parents

Biden
President Joe Biden has framed his infrastructure plan as a means of strengthening democracy and undermining autocracy.

President Joe Biden told lawmakers that he will put forward a plan to temporarily extend the expanded child tax credit, but he stopped short of proposing to permanently install it, according to The Wall Street Journal.

An expanded child tax credit was included in the $1.9 trillion COVID-19 relief package signed in March and was made scalable across income thresholds. One study said it could nearly halve child poverty, as Insider previously reported.

As Tanza Loudenback from Insider’s personal finance team wrote in an explainer on the child tax credit changes from 2020 to 2021. (Read it; it answers all of your questions):

“For 2021, the child tax credit increases to $3,600 per child under age 6 and $3,000 per child aged 6 to 17 (the 2020 credit edges out 17 year olds). It’s also fully refundable – half of the credit can be sent to qualifying taxpayers in the form of direct cash payments from July to December 2021. The other half will be available when they file their tax return in 2022.”

Insider estimated that up to 30 million American families could qualify for the child tax credit.

The IRS said that monthly child tax credit payments could begin by July 1.

According to the report, Biden met with the Congressional Hispanic Caucus on Tuesday and said that he is resistant to pushing for a permanent implementation of the tax credit due to potential pushback in the Senate.

During the meeting, Biden reportedly said he was open to extending the current tax credit, set to expire at the end of 2021, for several years.

In the heels of his proposed infrastructure and jobs bill, the Biden administration is working out the details for a possible $1 trillion plan focused on parental leave and child care, The Washington Post reported. The American Families Plan could include a provision to extend the expanded child tax credit to 2025, sources told The Post.

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WATCH: How small businesses can master their taxes in 2021

Filing taxes might be a bit different for small business owners this year. Many were greatly impacted by months of mandatory closures, lost essential revenue, civil unrest, government loans and grants, and layoffs. 

To find out what all these things mean for your taxes, small business reporter Jennifer Ortakales Dawkins talked with tax expert panelists. They covered how the pandemic, PPP loans, and revenue losses could impact your filings. 

Meet our panelists: 

Robbin Caruso is a partner in the tax department and the co-leader of the National Tax Controversy group of Prager Metis.

Nicole Davis is the founder and principal of Butler-Davis, a tax and accounting firm located outside of Atlanta, GA. 

Rick Lazio is the senior vice president of alliantgroup and a former US representative.

Topics covered: 

At 1:57 we go over basics like who is considered a small business and what the tax filing deadlines are depending on your business license. 

At 14:16 panelists explain what business owners should know about PPP loans and other types of federal aid and how those can affect your taxes. 

At 23:09 we cover how government-mandated closures affect business taxes,  what to do if your business deferred payroll taxes in 2020, and what pandemic-related expenses businesses can claim. 

At 33:00 panelists explain new, existing, and updated tax credits and incentives, including the Employee Retention Credit (ERC) and Research and Development (R&D) credits. 

And at 46:33 we go into a Q&A to respond to viewers’ questions as well as hear a few more tips from our panelists. 

Watch the full webinar above. For more information on filing your taxes as a small business, check out additional coverage below. 

Read the original article on Business Insider

TAXES: Everything small business owners need to know in 2021

Black business owner entrepreneur
  • 2021 will be an important year for small businesses to file their taxes.
  • Tax credits and incentives can be an effective way to offset losses from a difficult year.
  • But very few small businesses take advantage of all the credits available to them.
  • Visit the Business section of Insider for more stories.

2021 will be an important year for small businesses to file their taxes, as many are still reeling from financial losses during the pandemic. But tax credits and deductions can be used to offset some of your costs.

Join us March 2 at 1 PM EST for a webinar on how small businesses can master their taxes. Our panel of tax experts will answer your questions, which you can submit here. Register for the live event here

Getting tax credits and incentives

Business tax credits and incentives can be an effective way to save money or offset losses from a difficult year, but many small businesses don’t take advantage of them because they’re unaware of what’s available to them. The first step to getting them will be finding what your company qualifies for. Then, you’ll need to regularly monitor compliance. 

Some examples of tax credits would be if you provide childcare services for your employees or employ disadvantaged groups, such as the formerly incarcerated, long-term unemployment recipients, veterans, and summer youth.

Read more: This tax season, businesses can get credits for creating jobs, providing employee benefits, and using green energy

6 important tax credits for PPP borrowers

Small businesses can take advantage of both federal aid under the CARES Act and certain tax deductions, including the employee retention tax credit and research and development credits. In addition, the energy-efficient building tax deduction and excise alcohol tax break were made permanent.  

The business meals tax credit, commonly known as the “three-martini lunch,” has been temporarily increased from 50% to a full 100% deduction.

Read more: PPP borrowers can now claim 6 important tax credits – a major change from the original rule 

More about the employee retention credit

The Employee Retention Credit provides up to $14,000 per employee for eligible businesses in 2021. Businesses are eligible to claim this tax credit if they experienced full or partial shutdowns due to government orders during the pandemic or can show a 20% drop in quarterly revenue compared with the same quarter in 2019.

Read more: A business tax credit for keeping employees may be more helpful than a PPP loan – and you could be eligible for both

Read the original article on Business Insider