In this issue of the Monday Morning Messenger, learn more about the end-of-year COVID relief package that may assist your business.
In our second story of the morning, we cover one of those relief items, paid leave and paid leave tax credits, in more detail.
Thirdly, Texas Workforce Commission has an update for you when it comes to 2021 unemployment taxes.
Lastly, there are only a little over 24 hours left to comply with the new query component of the FMCSA Clearinghouse. Have you done your queries yet? Check out our last story of the morning to find out your requirements if you employ CDL drivers.
As always, TPGA is providing you Quick Links to give you fast access to communications you may have missed as well as useful links.
Find quick links to our recent TPGA Regulatory Alert on Online Tier II Training, payment portal for dues renewal, most recent winter propane pricing & supply update, as well as a link to our TPGA compliance store, PSC.
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In this issue
- In Brief
- COVID Relief Highlights
- Paid Leave Tax Credit
- Unemployment Taxes
- Clearinghouse Compliance
- Quick Links
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Calendar
January 4-29, 2021
January 5, 2021
January 7, 2021
January 12, 2021
Texas Legislative
Session Begins
February 1-3, 2021
February 1-26, 2021
February 15, 2021
February 26, 2021
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Consolidated Appropriations Act Employer COVID Relief Highlights |
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• Clarifies that EIDL Advance Grants are not included in taxable income.
• $20B was added for EIDL Advance Grants (Opening Soon)
• Clarifies expenses forgiven by PPP loans are tax-deductible.
• $284B is allocated for the second round of PPP loans (Opening Soon)
• Expands & extends the Employee Retention Tax Credit into 2021
• PPP loan borrowers will now qualify for Employee Retention Tax Credit retroactively (before did not qualify for both)
• Extends paid leave tax credits through March 31, 2021.
As we explore each of these subjects closer, as more information is released by the feds, and funding rounds open, we will continue to share more details on each in a series of Member Alerts as well as in the Messenger in 2021.
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Family First Paid Tax Credit Extended While Family First Mandated Paid Leave Expires |
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The paid sick leave or expanded family leave requirements mandated by the Families First Coronavirus Response Act (FFCRA) expired on December 31, 2020, and were not renewed by the latest COVID relief package.
Although the FFCRA’s paid leave requirements were not extended into 2021. Employers with under 500 employees can voluntarily offer COVID-related paid sick leave or expanded family leave, allowing full-time employees a one-time allotment of 80 hours of paid sick leave and 12 weeks of expanded family medical leave.
Those employers that offer paid leave can be reimbursed for the cost of providing leave through the recently extended FFCRA tax credit. The tax credit is renewed through March 31, 2021.
Although the mandate was not extended please visit the U.S. Department of Labor's FFCRA homepage for qualifying reasons for leave, which employees can take leave, caps on the amount of leave & documentation requirements if you plan to offer paid leave voluntarily and want to claim the tax credit.
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Also, be mindful that employees who have previously used or exhausted FFCRA-related leave are not eligible for additional leave, and you would not be able to claim the tax credit a second time if leave is already exhausted. |
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2021 Unemployment Tax
Update for Employers
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The Texas Workforce Commission (TWC) is exploring all avenues of tax rate reduction for the 2021 tax rates and will mail out the 2021 tax rate notices in February 2021. In previous years, TWC released employer tax rates in December before the next calendar year.
In February 2021, employers will also be able to view their 2021 tax rate using the TWC Unemployment Tax Services system. A February 2021 notification will give employers sufficient time to submit their first 2021 tax report in April 2021.
In addition to exploring options to keep the 2021 tax rates as low as possible for Texas employers, TWC is taking an aggressive approach to eliminating fraud, waste, and abuse of unemployment.TWC advises responding promptly to TWC notices when a former employee applies for unemployment benefits and responding to earnings information requests on claimants to help avoid overpayments and fraud which costs all employers.
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Last Chance! Deadline Tomorrow
for Clearinghouse Compliance
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The Federal Motor Carrier Safety Administration (FMCSA)’s Drug & Alcohol Clearinghouse launched on January 6, 2020 (just a year ago). The Clearinghouse gives FMCSA, CDL employers, driver's license offices, and law enforcement real-time access to a driver’s drug and alcohol violation records.
“Anyone who employs a commercial driver’s license holder must query the Clearinghouse,” the FMCSA outlines on its website.
FMCSA requires employers of CDL drivers to query the online database before hiring a driver and once per year for existing drivers.
CDL employers have until January 5, 2021, to do their first queries on your drivers using the FMCSA Clearinghouse database.
It is free for drivers to register for the Clearinghouse, however, CDL employers must purchase a Query plan from the FMCSA to utilize the database.
Here's what you need to do...
- Employer purchases query plan
- Employer requests consent to view driver's records
- Driver registers & logins into clearinghouse to give employer permission to do query.
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RECENT REGULATORY ALERT
ONLINE TIER II TRAINING
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TPGA MEMBERSHIP RENEWAL
IS UNDERWAY
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WINTER FUELS
SUPPLY & PRICE UPDATE
INCLUDES STATE DATA
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MEMBERS SAVE AT THE
TPGA STORE (PSC)
LOGIN TO START SAVING
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