The American Rescue Plan Act of 2021 Extends FFCRA Tax Credits

By: Rebecca A. Hause-Schultz

As we previously reported here, although the Families First Coronavirus Response Act (“FFCRA”) mandated leave expired on December 31, 2020, employers covered under the FFCRA could voluntarily opt to provide qualified FFCRA leave to qualified individuals AND continue to receive the tax credit through March 31, 2021.

The American Rescue Plan (“the Plan Act”), passed March 11, 2021, extends the FFCRA tax credit through September 30, 2021. The Plan Act also expanded the qualifying reasons for leave under the FFCRA to include time spent:

  • Obtaining a COVID-19 immunization,
  • Recovering from an injury, disability, illness, or condition related to COVID-19 immunization, or
  • Seeking or awaiting results of a COVID-19 test or diagnosis because either the employee has been exposed to COVID or the employer requested the test or diagnosis.


This is helpful news to qualifying employers who still want to utilize the FFCRA tax credit, which now continues through September 30, 2021. If you have questions about navigating leave laws or the FFCRA, contact the experts at The Saqui Law Group.

Disclaimer: The goal of this article is to provide employers with current labor and employment law information. The contents should neither be interpreted as, nor construed as legal advice or opinion. The reader should consult with The Saqui Law Group at (916) 782-8555 or for individual responses to questions or concerns regarding any given situation.

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