,,ii #aae? ,,congress #a/ ,session ,s4 #agaf ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates ,augu/ #b1 #bjag,mrs4 ,fis*] 7= h]self & ,mr4 ,k+7 introduc$ ! foll[+ bill2 :i* 0 read twice & ref]r$ to ! ,committee on ,f9ance ,a ,,bill ,to am5d ! ,int]nal ,rev5ue ,code ( #aihf to provide a cr$it to employ]s :o provide paid family & m$ical leave1 & = o!r purposes4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,/rong ,families ,act4 #b4 ,employ] cr$it = paid family & m$ical leave 7a7 ,9 g5]al 7#a7 ,all[ance ( cr$it ,subp>t ,d ( "p ,,iv ( sub*apt] ,a ( *apt] #a ( ! ,int]nal ,rev5ue ,code ( #aihf is am5d$ by add+ at ! end ! foll[+ new section3 #de,s4 ,employ] cr$it = paid family & m$ical leave 7a7 ,e/abli%m5t ( cr$it 7#a7 ,9 g5]al ,= purposes ( section #ch1 9 ! case ( an eligible employ]1 ! paid family & m$ical leave cr$it is an am\nt equal to ! applicable p]c5tage ( ! am\nt ( wages paid to qualify+ employees dur+ any p]iod 9 :i* su* employees are on family & m$ical leave4 7#b7 ,applicable p]c5tage ,= purposes ( p>agraph 7#a71 ! t]m applicable p]c5tage means #ab4e p]c5t increas$ 7b n above #be p]c5t7 by #j4be p]c5tage po9ts = ea* p]c5tage po9t by :i* ! rate ( paym5t 7z describ$ "u subsection 7c77#a77;,b77 exce$s #ej p]c5t4 7b7 ,limitation 7#a7 ,9 g5]al ,! cr$it all[$ "u subsection 7a7 ) respect to any employee = any taxable ye> %all n exce$ an am\nt equal to ! product ( ! normal h\rly wage rate ( su* employee = ea* h\r 7or fraction !re(7 ( actual s]vices p]=m$ = ! employ] & ! numb] ( h\rs 7or fraction !re(7 = :i* family & m$ical leave is tak54 7#b7 ,non-h\rly wage rate ,= purposes ( p>agraph 7#a71 9 ! case ( any employee :o is n paid on an h\rly wage rate1 ! wages ( su* employee %all be prorat$ to an h\rly wage rate "u regulations e/abli%$ by ! ,secret>y1 9 consultation ) ! ,secret>y ( ,labor4 7#c7 ,maximum am\nt ( leave subject to cr$it ,! am\nt ( family & m$ical leave t may be tak5 into acc\nt ) respect to any employee "u subsection 7a7 = any taxable ye> %all n exce$ #ab weeks4 7c7 ,eligible employ] ,= purposes ( ?is section-- 7#a7 ,9 g5]al ,! t]m eligible employ] means any employ] :o has 9 place a policy t meets ! foll[+ requirem5ts3 7,a7 ,! policy provides-- 7i7 9 ! case ( a qualify+ employee :o is n a "p-"t employee 7z def9$ 9 section #dihj;,e7d77#d77;,b771 n less ?an #b weeks ( annual paid family & m$ical leave1 & 7ii7 9 ! case ( a qualify+ employee :o is a "p-"t employee1 an am\nt ( annual paid family & m$ical leave t is n less ?an an am\nt :i* be>s ! same ratio to ! am\nt ( annual paid family & m$ical leave t is provid$ to a qualify+ employee describ$ 9 clause 7i7 z-- 7,i7 ! numb] ( h\rs ! employee is expect$ to "w dur+ any week1 be>s to 7,,ii7 ! numb] ( h\rs an equival5t qualify+ employee describ$ 9 clause 7i7 is expect$ to "w dur+ ! week4 7,b7 ,! policy requires t ! rate ( paym5t "u ! program is n less ?an #ej p]c5t ( ! wages normally paid to su* employee = s]vices p]=m$ = ! employ]4 7#b7 ,special rule = c]ta9 employ]s 7,a7 ,9 g5]al ,an add$ employ] %all n be treat$ z an eligible employ] unless su* employ] provides paid family & m$ical leave 9 compliance ) a policy :i* ensures t ! employ]-- 7i7 w n int]f]e )1 re/ra91 or d5y ! ex]cise ( or ! attempt to ex]cise1 any "r provid$ "u ! policy1 & 7ii7 w n dis*>ge or 9 any o!r mann] discrim9ate aga9/ any individual = oppos+ any practice prohibit$ by ! policy4 7,b7 ,add$ employ]2 add$ employee ,= purposes ( ?is p>agraph-- 7i7 ,add$ employee ,! t]m add$ employee means a qualify+ employee :o is n cov]$ by title ,i ( ! ,family & ,m$ical ,leave ,act ( #aiic1 z am5d$4 7ii7 ,add$ employ] ,! t]m add$ employ] means an eligible employ] 7det]m9$ )\t reg>d to ?is p>agraph71 :e!r or n cov]$ by t title ,i1 :o (f]s paid family & m$ical leave to add$ employees4 7#c7 ,aggregation rule ,all p]sons :i* are treat$ z a s+le employ] "u subsections 7a7 & 7b7 ( section #eb %all be treat$ z a s+le taxpay]4 7#d7 ,treatm5t ( b5efits m&at$ or paid = by ,/ate or local gov]nm5ts ,= purposes ( ?is section1 any leave :i* is paid by a ,/ate or local gov]nm5t or requir$ by ,/ate or local law %all n be tak5 into acc\nt 9 det]m9+ ! am\nt ( paid family & m$ical leave provid$ by ! employ]4 7#e7 ,no inf]5ce ,no?+ 9 ?is subsection %all be con/ru$ z subject+ an employ] to any p5alty1 liability1 or o!r consequ5ce 7o!r ?an ineligibility = ! cr$it all[$ by reason ( subsection 7a7 or recaptur+ ! b5efit ( su* cr$it7 = failure to comply ) ! requirem5ts ( ?is subsection4 7d7 ,qualify+ employees ,= purposes ( ?is section1 ! t]m qualify+ employee means any employee 7z def9$ 9 section #c7;e7 ( ! ,fair ,labor ,/&>ds ,act ( #aich1 z am5d$7 :o-- 7#a7 has be5 employ$ by ! employ] = #a ye> or m1 & 7#b7 = ! prec$+ ye>1 _h comp5sation n 9 excess ( an am\nt equal to #fj p]c5t ( ! am\nt applicable = su* ye> "u clause 7i7 ( section #dad7q77#a77;,b74 7e7 ,family & m$ical leave 7#a7 ,9 g5]al ,except z provid$ 9 p>agraph 7#b71 = purposes ( ?is section1 ! t]m family & m$ical leave means leave = any #a or m ( ! purposes describ$ "u subp>agraph 7,a71 7,b71 7,c71 7,d71 or 7,e7 ( p>agraph 7#a71 or p>agraph 7#c71 ( section #ajb7;a7 ( ! ,family & ,m$ical ,leave ,act ( #aiic1 z am5d$1 :e!r ! leave is provid$ "u t ,act or by a policy ( ! employ]4 7#b7 ,exclusion ,if an employ] provides paid leave z vacation leave1 p]sonal leave1 or m$ical or sick leave 7o!r ?an leave specifically = #a or m ( ! purposes ref]r$ to 9 p>agraph 7#a771 t paid leave %all n be consid]$ to be family & m$ical leave "u p>agraph 7#a74 7#c7 ,def9itions ,9 ?is subsection1 ! t]ms vacation leave1 p]sonal leave1 & m$ical or sick leave mean ^? #c types ( leave1 )9 ! mean+ ( section #ajb7;d77#b7 ( t ,act4 7f7 ,wages ,= purposes ( ?is section1 ! t]m wages has ! mean+ giv5 su* t]m by subsection 7b7 ( section #ccjf 7det]m9$ )\t reg>d to any doll> limitation conta9$ 9 su* section74 ,su* t]m %all n include any am\nt tak5 into acc\nt = purposes ( det]m9+ any o!r cr$it all[$ "u ?is subp>t4 7g7 ,election ,to h cr$it n apply 7#a7 ,9 g5]al ,a taxpay] may elect to h ?is section n apply = any taxable ye>4 7#b7 ,o!r rules ,rules simil> to ! rules ( p>agraphs 7#b7 & 7#c7 ( section #ea7;j7 %all apply = purposes ( ?is subsection4 7h7 ,t]m9ation ,?is section %all n apply to wages paid 9 any taxable ye> beg9n+ aft] ! date :i* is #e ye>s aft] ! date ( ! enactm5t ( ! ,/rong ,families ,act4 4 7b7 ,cr$it "p ( g5]al bus9ess cr$it ,section #ch7;b7 ( ! ,int]nal ,rev5ue ,code ( #aihf is am5d$ by /rik+ plus at ! end ( p>agraph 7#ce71 by /rik+ ! p]iod at ! end ( p>agraph 7#cf7 & ins]t+ 1 plus1 & by add+ at ! end ! foll[+ new p>agraph3 7#cg7 9 ! case ( an eligible employ] 7z def9$ 9 section #de,s7c771 ! paid family & m$ical leave cr$it det]m9$ "u section #de,s7a74 4 7c7 ,cr$it all[$ aga9/ ,,amt ,subp>agraph 7,b7 ( section #ch7;c77#d7 ( ! ,int]nal ,rev5ue ,code ( #aihf is am5d$ by r$esignat+ clauses 7vii7 ?r\gh 7ix7 z clauses 7vii7 ?r\gh 7x71 respectively1 & by ins]t+ aft] clause 7vi7 ! foll[+ new clause3 7vii7 ! cr$it det]m9$ "u section #de,s1 4 7d7 ,con=m+ am5dm5ts 7#a7 ,d5ial ( d\ble b5efit ,section #bhj;,c7a7 ( ! ,int]nal ,rev5ue ,code ( #aihf is am5d$ by ins]t+ #de,s7a71 aft] #de,p7a714 7#b7 ,election to h cr$it n apply ,section #feja7m7 ( su* ,code is am5d$ by ins]t+ #de,s7g71 aft] #de;,h7g714 7#c7 ,cl]ical am5dm5t ,! table ( sections = subp>t ,d ( "p ,,iv ( sub*apt] ,a ( *apt] #a ( su* ,code is am5d$ by add+ at ! end ! foll[+ new item3 ,sec4 #de,s4 ,employ] cr$it = paid family & m$ical leave4 4 7e7 ,effective date ,! am5dm5ts made by ?is section %all apply to wages paid 9 taxable ye>s beg9n+ aft] ! date ( ! enactm5t ( ?is ,act4 #c4 ,,gao /udy ( impact ( tax cr$it to promote access to paid family & m$ical leave 7a7 ,/udy ,n lat] ?an #d ye>s aft] ! date ( enactm5t ( ?is ,act1 ! ,comptroll] ,g5]al ( ! ,unit$ ,/ates1 9 consultation ) ! ,secret>y ( ! ,treasury & ! ,secret>y ( ,labor1 %all-- 7#a7 complete a /udy t-- 7,a7 exam9es ! effectiv5ess ( ! tax cr$it = paid family & m$ical leave au?oriz$ "u section #de,s ( ! ,int]nal ,rev5ue ,code ( #aihf 7z add$ by ?is ,act7 9 t]ms (-- 7i7 increas+ access to paid family & m$ical leave among qualify+ employees2 7ii7 promot+ ! creation ( new paid family & m$ical leave policies among eligible employ]s2 7iii7 increas+ ! g5]osity ( exi/+ paid family & m$ical leave policies among eligible employ]s2 & 7iv7 inc5tiviz+ employee or employ] behavior t might n o!rwise h occurr$ 9 ! abs5ce ( ! cr$it2 7,b7 provides recomm5dations = ways to modify or enhance ! tax cr$it to fur!r promote access to paid family & m$ical leave = qualify+ employees2 & 7,c7 provides sugge/ions ( alt]native policies t ,f$]al & ,/ate gov]nm5ts c\ld implem5t to increase access to paid family & m$ical leave1 p>ticul>ly among qualify+ employees2 & 7#b7 prep>e & submit a report to ! ,committee on ,f9ance ( ! ,s5ate & ! ,committee on ,ways & ,means ( ! ,h\se ( ,repres5tatives sett+ =? ! conclusions ( ! /udy conduct$ "u p>agraph 7#a7 9 su* a mann] t ! recomm5dations includ$ 9 ! report c in=m future legislative action4 ,su* report %all also be made publicly available via ! website ( ! ,gov]nm5t ,acc\ntability ,(fice4 7b7 ,prohibition ,9 c>ry+ out ! requirem5ts ( ?is section1 ! ,comptroll] ,g5]al ( ! ,unit$ ,/ates may reque/ qualitative & quantitative in=mation f employ]s & employees claim+ ! cr$it "u section #de,s ( ! ,int]nal ,rev5ue ,code ( #aihf1 b no?+ 9 ?is section %all be con/ru$ z m&at+ additional report+ requirem5ts = su* employ]s or employees beyond :at is already requir$ by law4