Sec. 213. Safe and healthy workplace tax credit
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In the case of an employer, there shall be allowed as a credit against applicable employment taxes for each calendar quarter an amount equal to 50 percent of the sum of— the qualified employee protection expenses, the qualified workplace reconfiguration expenses, and the qualified workplace technology expenses, paid or incurred by the employer during such calendar quarter. The amount of the credit allowed under subsection
(a)with respect to any employer for any calendar quarter shall not exceed the excess (if any) of— the applicable dollar limit with respect to such employer for such calendar quarter, over the aggregate credits allowed under subsection
(a)with respect to such employer for all preceding calendar quarters. The term applicable dollar limit means, with respect to any employer for any calendar quarter, the sum of— $1,000, multiplied by the average number of employees employed by such employer during such calendar quarter not in excess of 500, plus $750, multiplied by such average number of employees in excess of 500 but not in excess of 1,000, plus $500, multiplied by such average number of employees in excess of 1,000. The credit allowed by subsection
(a)with respect to any calendar quarter shall not exceed the applicable employment taxes (reduced by any credits allowed under subsections
(e)and
(f)of section 3111 of the Internal Revenue Code of 1986, sections 7001 and 7003 of the Families First Coronavirus Response Act, and section 2301 of the CARES Act) on the wages paid with respect to the employment of all the employees of the employer for such calendar quarter. If the amount of the credit under subsection
(a)exceeds the limitation of paragraph
(2)for any calendar quarter, such excess shall be treated as an overpayment that shall be refunded under sections 6402(a) and 6413(b) of the Internal Revenue Code of 1986. For purposes of section 1324 of title 31, United States Code, any amounts due to the employer under this paragraph shall be treated in the same manner as a refund due from a credit provision referred to in subsection (b)(2) of such section. For purposes of this section, the term qualified employee protection expenses means amounts paid or incurred by the employer for— testing (including on a periodic basis) employees and customers of the employer for coronavirus disease 2019, hereafter referred to in this section as COVID–19 (including antibodies related to COVID–19), equipment to protect employees and customers of the employer from contracting COVID–19, including masks, gloves, and disinfectants, and cleaning products or services related to preventing the spread of COVID–19. For purposes of this section— The term qualified workplace reconfiguration expenses means amounts paid or incurred by the employer to design and reconfigure retail space, work areas, break areas, or other areas that employees or customers regularly use in the ordinary course of the employer’s trade or business if such design and reconfiguration— has a primary purpose of preventing the spread of COVID–19, is with respect to tangible property (within the meaning of section 168 of the Internal Revenue Code of 1986) which is located in the United States and which is leased or owned by the employer, is commensurate with the risks faced by the employees or customers, or is consistent with recommendations made by the Centers for Disease Control and Prevention or the Occupational Safety and Health Administration, is completed pursuant to a reconfiguration (or similar) plan that was not in place before March 13, 2020, and is completed before January 1, 2021. The Secretary shall prescribe such regulations and other guidance as may be necessary or appropriate to carry out the purposes of this subsection, including guidance defining primary purpose and reconfiguration plan. For purposes of this section— The term qualified workplace technology expenses means amounts paid or incurred by the employer for technology systems that employees or customers use in the ordinary course of the employer’s trade or business if such technology system— has a primary purpose of preventing the spread of COVID–19, is used for limiting physical contact between customers and employees in the United States, is commensurate with the risks faced by the employees or customers, or is consistent with recommendations made by the Centers for Disease Control and Prevention or the Occupational Safety and Health Administration, is acquired by the employer on or after March 13, 2020, and is not acquired pursuant to a plan that was in place before such date, and is placed in service by the employer before January 1, 2021. The term technology systems means computer software (as defined in section 167(f)(1) of the Internal Revenue Code of 1986) and qualified technological equipment (as defined in section 168(i)(2) of such Code). The Secretary shall prescribe such regulations and other guidance as may be necessary or appropriate to carry out the purposes of this subsection, including guidance defining the terms primary purpose and plan . For purposes of this section— The term applicable employment taxes means the following: The taxes imposed under section 3111(a) of the Internal Revenue Code of 1986. So much of the taxes imposed under section 3221(a) of such Code as are attributable to the rate in effect under section 3111(a) of such Code. 19 Except where the context clearly indicates otherwise, any reference in this section to COVID–19 shall be treated as including a reference to the virus which causes COVID–19. The term Secretary means the Secretary of the Treasury or such Secretary’s delegate. Any term used in this section which is also used in chapter 21 or 22 of the Internal Revenue Code of 1986 shall have the same meaning as when used in such chapter. This section shall not apply to the Government of the United States, the government of any State or political subdivision thereof, or any agency or instrumentality of any of the foregoing. All persons treated as a single employer under subsection
(a)or
(b)of section 52 of the Internal Revenue Code of 1986, or subsection
(m)or
(o)of section 414 of such Code, shall be treated as one employer for purposes of this section. Any credit allowed under subsection
(a)shall be treated as a credit described in section 3511(d)(2) of such Code. The Secretary shall waive any penalty under section 6656 of the Internal Revenue Code of 1986 for any failure to make a deposit of any applicable employment taxes if the Secretary determines that such failure was due to the reasonable anticipation of the credit allowed under subsection (a). In the case of a self-employed individual, there shall be allowed as a credit against the tax imposed by subtitle A of the Internal Revenue Code of 1986 for any taxable year an amount equal to 50 percent of the sum of— the qualified employee protection expenses (as determined by treating the self-employed individual both as the employer and an employee), the qualified workplace reconfiguration expenses (as so determined), and the qualified workplace technology expenses (as so determined), paid or incurred by the individual during such taxable year. The amount of the credit allowed under paragraph
(1)with respect to any self-employed individual for any taxable year shall not exceed $500. The credit determined under paragraph
(1)shall be treated as a credit allowed to the taxpayer under subpart C of part IV of subchapter A of chapter 1 of such Code. For purposes of section 1324 of title 31, United States Code, any refund due from the credit determined under paragraph
(1)shall be treated in the same manner as a refund due from a credit provision referred to in subsection (b)(2) of such section. For purposes of this section, the term self-employed individual means an individual who regularly carries on any trade or business within the meaning of section 1402 of the Internal Revenue Code of 1986, other than any such trade or business which is carried on by a partnership. No credit shall be allowed under paragraph
(1)to any individual unless the individual maintains such documentation as the Secretary may prescribe to establish such individual as an eligible self-employed individual. For purposes of this section— Any deduction or other credit otherwise allowable under any provision of the Internal Revenue Code of 1986 with respect to any expense for which a credit is allowed under this section shall be reduced by the amount of the credit under this section with respect to such expense. If a credit is allowed under this section with respect to any property of a character which is subject to the allowance for depreciation under section 167 of such Code, the basis of such property shall be reduced by the amount of the credit so allowed, and such reduction shall be taken into account before determining the amount of any allowance for depreciation with respect to such property for purposes of such Code. The same expense shall not be treated as described in more than one paragraph of subsection
(a)or more than one subparagraph of subsection (j)(1), whichever is applicable. The credit under subsection
(a)and the credit for self-employed individuals under subsection
(j)shall not apply to the same taxpayer. This section shall not apply with respect to any employer for any calendar quarter, or with respect to any self-employed individual for any taxable year, if such employer or self-employed individual elects (at such time and in such manner as the Secretary may prescribe) not to have this section apply. There are hereby appropriated to the Federal Old-Age and Survivors Insurance Trust Fund and the Federal Disability Insurance Trust Fund established under section 201 of the Social Security Act ( 42 U.S.C. 401 ) and the Social Security Equivalent Benefit Account established under section 15A(a) of the Railroad Retirement Act of 1974 ( 45 U.S.C. 231n–1(a) ) amounts equal to the reduction in revenues to the Treasury by reason of this section (without regard to this subsection). Amounts appropriated by the preceding sentence shall be transferred from the general fund at such times and in such manner as to replicate to the extent possible the transfers which would have occurred to such Trust Fund or Account had this section not been enacted. The Secretary shall prescribe such regulations and other guidance as may be necessary or appropriate to carry out the purposes of this section, including— with respect to the application of the credit under subsection
(a)to third-party payors (including professional employer organizations, certified professional employer organizations, or agents under section 3504 of the Internal Revenue Code of 1986), regulations or other guidance allowing such payors to submit documentation necessary to substantiate the amount of the credit allowed under subsection (a), regulations or other guidance for recapturing the benefit of credits determined under subsection
(a)in cases where there is a subsequent adjustment to the credit determined under such subsection, and regulations or other guidance to prevent abuse of the purposes of this section. This section shall only apply to amounts paid or incurred after March 12, 2020, and before January 1, 2021. For purposes of this section, in the case of any amount paid or incurred after March 12, 2020, and on or before the last day of the last calendar quarter ending before the date of the enactment of this Act, such amount shall be treated as paid or incurred on such date of enactment.
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- 45 USC 231n–1(a)
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