26 U.S.C. § 3128 — Short title

Page 2733 TITLE 26—INTERNAL REVENUE CODE § 3131 this subsection [amending this section] shall be effec- tive as if they were included in the amendments made by section 8007(a)(1) of the Technical and Miscellaneous Revenue Act of 1988 (102 Stat. 3781) [Pub. L. 100–647].’’ EFFECTIVE DATE Section applicable to wages paid after Dec. 31, 1988, see section 8007(d) of Pub. L. 100–647, set out as an Ef- fective Date of 1988 Amendment note under section 1402 of this title. SAVINGS PROVISION For provisions that nothing in amendment by Pub. L. 115–141 be construed to affect treatment of certain transactions occurring, property acquired, or items of income, loss, deduction, or credit taken into account prior to Mar. 23, 2018, for purposes of determining li- ability for tax for periods ending after Mar. 23, 2018, see section 401(e) of Pub. L. 115–141, set out as a note under section 23 of this title. § 3128. Short title This chapter may be cited as the ‘‘Federal In- surance Contributions Act.’’ (Aug. 16, 1954, ch. 736, 68A Stat. 429, § 3125; re- numbered § 3126, Pub. L. 86–778, title I, § 103(q)(1), Sept. 13, 1960, 74 Stat. 939; renumbered § 3127, Pub. L. 99–509, title IX, § 9002(a)(1), Oct. 21, 1986, 100 Stat. 1970; renumbered § 3128, Pub. L. 100–647, title VIII, § 8007(a)(1), Nov. 10, 1988, 102 Stat. 3781.) Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1986 AMENDMENT Amendment by Pub. L. 99–509, except as otherwise provided, effective with respect to payments due with respect to wages paid after Dec. 31, 1986, including wages paid after such date by a State (or political sub- division thereof) that modified its agreement pursuant to section 418(e)(2) of Title 42, The Public Health and Welfare, see section 9002(d) of Pub. L. 99–509, set out as a note under section 418 of Title 42. Subchapter D—Credits Sec. 3131. Credit for paid sick leave. 3132. Payroll credit for paid family leave. 3133. Special rule related to tax on employers. 3134. Employee retention credit for employers sub- ject to closure due to COVID–19. Editorial Notes AMENDMENTS 2021—Pub. L. 117–2, title IX, § 9651(c), Mar. 11, 2021, 135 Stat. 182, added item 3134. § 3131. Credit for paid sick leave (a) In general In the case of an employer, there shall be al- lowed as a credit against applicable employment taxes for each calendar quarter an amount equal to 100 percent of the qualified sick leave wages paid by such employer with respect to such cal- endar quarter. (b) Limitations and refundability (1) Wages taken into account The amount of qualified sick leave wages taken into account under subsection (a), plus any increases under subsection (e), with re- spect to any individual shall not exceed $200 ($511 in the case of any day any portion of which is paid sick time described in paragraph (1), (2), or (3) of section 5102(a) of the Emer- gency Paid Sick Leave Act, applied with the modification described in subsection (c)(2)(A)(i)) for any day (or portion thereof) for which the individual is paid qualified sick leave wages. (2) Overall limitation on number of days taken into account The aggregate number of days taken into ac- count under paragraph (1) for any calendar quarter shall not exceed the excess (if any) of— (A) 10, over (B) the aggregate number of days so taken into account during preceding calendar quarters in such calendar year (other than the first quarter of calendar year 2021). (3) Credit limited to certain employment taxes The credit allowed by subsection (a) with re- spect to any calendar quarter shall not exceed the applicable employment taxes for such cal- endar quarter on the wages paid with respect to the employment of all employees of the em- ployer. (4) Refundability of excess credit (A) Credit is refundable If the amount of the credit under sub- section (a) exceeds the limitation of para- graph (3) for any calendar quarter, such ex- cess shall be treated as an overpayment that shall be refunded under sections 6402(a) and 6413(b). (B) Advancing credit In anticipation of the credit, including the refundable portion under subparagraph (A), the credit shall be advanced, according to forms and instructions provided by the Sec- retary, up to an amount calculated under subsection (a), subject to the limits under paragraph (1) and (2), all calculated through the end of the most recent payroll period in the quarter. (c) Qualified sick leave wages For purposes of this section— (1) In general The term ‘‘qualified sick leave wages’’ means wages paid by an employer which would be required to be paid by reason of the Emer- gency Paid Sick Leave Act as if such Act ap- plied after March 31, 2021. (2) Rules of application For purposes of determining whether wages are qualified sick leave wages under paragraph (1)— (A) In general The Emergency Paid Sick Leave Act shall be applied— (i) by inserting ‘‘, the employee is seek- ing or awaiting the results of a diagnostic test for, or a medical diagnosis of, COVID–19 and such employee has been ex- posed to COVID–19 or the employee’s em- ployer has requested such test or diag-