Employer Tax Credits
Many businesses that have been severely impacted by coronavirus (COVID-19) will qualify for two new employer tax credits – the Credit for Sick and Family Leave and the Employee Retention Credit. Learn more here.
Paid Leave Credit for Vaccines — The American Rescue Plan Act of 2021 (ARP) allows small and midsize employers, and certain governmental employers, to claim refundable tax credits that reimburse them for the cost of providing paid sick and family leave to their employees due to COVID-19, including leave taken by employees to receive or recover from COVID-19 vaccinations. The ARP tax credits are available to eligible employers that pay sick and family leave for leave from April 1, 2021, through September 30, 2021. For more Information see our fact sheet.
Employee Retention Credit — New law extends coronavirus tax credit for employers who keep workers on payroll: New law extends coronavirus tax credit for employers who keep workers on payroll. The Taxpayer Certainty and Disaster Tax Relief Act of 2020, enacted December 27, 2020, amended and extended the employee retention credit (and the availability of certain advance payments of the tax credits) under section 2301 of the CARES Act.
Sick and Family Leave Credits — COVID-19-Related Tax Credits for Required Paid Leave Provided by Small and Midsize Businesses: COVID-19-Related Tax Credits for Required Paid Leave Provided by Small and Midsize Businesses. The COVID-Related Tax Relief Act of 2020, enacted December 27, 2020, amended and extended the tax credits for paid sick and family leave under sections 7001-7005 of the Families First Coronavirus Response Act.
The National Endowment for the Arts (NEA) is announcing two programs to distribute American Rescue Plan (ARP) funds.
These programs are open to nonprofit arts and culture organizations and local arts agencies, regardless of whether they have received NEA funding in the past. This is a change from previous emergency funding requirements at the NEA and significantly expands access to federal funds for the arts and culture sector. The NEA encourages applications from first-time applicants, and will offer workshops, question-and-answer sessions, and other resources for those new to federal funding. The deadline to apply is August 12. To learn more, you can attend the Federal Funding Webinar: New Opportunities for Arts & Culture Nonprofits and Local Arts Agencies through the National Endowment for the Arts – Thursday, July 22, 2021 from 11am-12:30pm. The Alaska State Council on the Arts in partnership with The Alaska Arts and Culture Foundation will host a webinar to explore these new programs. Learn how to register your organization to be eligible for federal funding, gain other resources, and participate in a Q&A session. First-time applicants are encouraged to apply, and this webinar will provide content for new as well as previous NEA applicants. This webinar will be recorded and made available on ASCA’s website within 48 hours after the event. Please follow this link (https://us02web.zoom.us/j/89200075698) to join the Zoom meeting on July 22, 2021 from 11:00 am to 12:30 pm.
The American Rescue Plan Act – A Resource Guide
The American Rescue Plan Act (ARPA) of 2021 is a $1.9 trillion economic stimulus bill. Within the ARPA, there are significant direct allocations to the State, local governments, and tribes, as well as to businesses, schools, nonprofits, and the University. Additionally, there will be multiple grant opportunities available for Alaska organizations and governments. The Alaska Municipal League, in partnership with Foraker and others, has created a website that provides an extensive summary of resources relevant to Alaskans, tracking funds coming in as well as grant opportunities. It is a collaborative effort to serve as a clearinghouse of information that can be used by recipients and other and potential beneficiaries. If you missed the webinar on Accessing ARPA Funding, you can find the recording here.
If you missed the National Council of Nonprofits webinar What’s in the New COVID Relief Law for Nonprofits? You can find a recording of the presentation, the slides, and additional resources on their website. As several of the presenters mentioned, Congress is debating additional COVID relief and federal agencies and departments – particularly the Small Business Administration and Treasury Department – are in the process of answering questions and implementing the law enacted at the end of 2020.