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H.R. 1424119th CongressIn committeeLatest action Feb 18, 2025Decoded by AI · checked against the record
Official title: To amend the Internal Revenue Code of 1986 to increase the employer tax credit for paid family and medical leave.
Introduced:
Read the official bill on Congress.govThe plain-language version leads. The official text is always the reference.
HR 1424 doubles the tax credit rate for employers who offer paid family and medical leave and makes that credit permanent starting in 2026.
45-second read · 4 questions answered below
This bill doubles the tax credit employers can claim for voluntarily offering paid family and medical leave. The starting credit rate would rise from 12.5% to 25% of wages paid during qualifying leave, and the rate can climb higher when employers pay a greater share of an employee's normal wages. The credit would also be made permanent instead of expiring, beginning with the 2026 tax year.
Any business of any size that chooses to offer paid family and medical leave to its employees could be affected.
Employers who already offer paid family and medical leave would receive a larger tax credit than they do today. Employers who did not previously offer it may find the higher credit changes their decision about whether to do so.
AI-drafted summary. Verify it against the official text before you act on it. Read the official bill on Congress.gov
Right now: a House committee is reviewing it. If the Senate changes it, it goes back to the House before reaching the President.
Latest action: — Referred to the House Committee on Ways and Means.