IRS Guidance: H-2A Wages Not Eligible for FFCRA Credit

The IRS released several new FAQs pertaining to Families First Coronavirus Response Act (FFCRA) credits. One of the new FAQs relates specifically to H-2A labor. The FAQ states that employers may not claim credit for leave payments to H-2A workers because H-2A worker wages are not subject to FICA and therefore not considered qualified leave wages eligible for the credit. Complete FAQs can be found on the IRS website.

Please contact your Varnum agriculture attorney if you have questions.