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A new provision of the Tax Cuts and Jobs Act (TCJA) creates a new tax credit for employers who pay wages for family and medical leave. The new credit, which takes effect in 2018, only lasts through 2019. However, there is a chance it could be extended by future legislation. Eligible employers can claim a credit equal to a percentage of wages paid to qualifying employees on leave under the Family and Medical Leave Act (FMLA).
The IRS has not yet fully described some of the provisions, but here are the highlights: