IRS Issues Guidance on Reporting Qualified Sick and Family Leave Wages Paid

 – July 8, 2020
IRS Issues Guidance on Reporting Qualified Sick and Family Leave Wages Paid

The Treasury Department and the IRS today provided guidance in Notice 2020-54  to employers requiring them to report the amount of qualified sick and family leave wages paid to employees under the Families First Coronavirus Response Act (FFCRA) on Form W-2.

Employers will be required to report these amounts either on Form W-2, Box 14, or in a statement provided with the Form W-2. The guidance provides employers with optional language to use in the Form W-2 instructions for employees.

The wage amount that the notice requires employers to report on Form W-2 will provide self-employed individuals who are also employees with the information necessary to determine the amount of any sick and family leave equivalent credits they may claim in their self-employed capacities