Paid Family and Medical Leave Tax Credit Extension and Enhancement Act
Official title: To amend the Internal Revenue Code of 1986 to enhance the paid family and medical leave credit, and for other purposes.
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Referred to the House Committee on Ways and Means.
Paid Family and Medical Leave Tax Credit Extension and Enhancement Act
This bill makes the paid family and medical leave tax credit permanent, expands eligibility for the credit, requires outreach to increase awareness of the tax credit, and makes other changes to the credit.
Currently, an eligible employer may claim a tax credit (through 2025) for up to 25% of wages paid to a qualifying employee (who has worked for the employer for one year or more) while the employee is on family and medical leave.
The bill makes the tax credit for paid family and medical leave permanent and allows an eligible employer to claim the tax credit for 25% of either (1) wages paid to a qualifying employee while the employee is on family and medical leave, or (2) premiums paid for paid family or medical leave insurance.
The bill also
- allows an employer to provide family and medical leave to an employee who has worked for the employer for six months or more,
- provides that leave that is paid by a state or local government or required by state or local law must be taken into account in determining the amount of leave provided by the employer but may not be counted when determining the amount of the credit, and
- provides a limited exception to the requirements related to written family and medical leave policies.
Finally, the bill requires targeted outreach to employers and other relevant parties regarding the availability and requirements of the tax credit.
- Introduced in House Formatted Text PDF Formatted XML
- AMERICAN HOTEL & LODGING ASSOCIATION
- ALZHEIMER'S ASSOCIATION
- HARTFORD INSURANCE GROUP (FKA HARTFORD FINANCIAL SERVICES GROUP)
- PRINCIPAL FINANCIAL GROUP
- NATIONAL RESTAURANT ASSOCIATION
- AMERICAN HOTEL & LODGING ASSOCIATION
Bodies those filers lobbied
- HOUSE OF REPRESENTATIVES
- SENATE
- Labor, Dept of (DOL)
- Health & Human Services, Dept of (HHS)
- Treasury, Dept of
- White House Office
- Centers For Medicare and Medicaid Services (CMS)
- Food & Drug Administration (FDA)
Cite this page
U.S. Congress. (2026). H.R. 996: Paid Family and Medical Leave Tax Credit Extension and Enhancement Act. 119th Congress. Open America. https://openamerica.io/bill/119-HR-996/
"H.R. 996: Paid Family and Medical Leave Tax Credit Extension and Enhancement Act." 119th Congress, 2026, Open America, https://openamerica.io/bill/119-HR-996/.
H.R. 996, 119th Cong. (2026), https://openamerica.io/bill/119-HR-996/.
[H.R. 996: Paid Family and Medical Leave Tax Credit Extension and Enhancement Act](https://openamerica.io/bill/119-HR-996/)