9/7/2021
Notice 2021-53 provides guidance to employers on the requirement to report qualified sick leave wages and qualified family leave wages paid to employees for leave provided in 2021 under the Families First Coronavirus Response Act amended by the COVID-related Tax Relief Act of 2020, and under sections 3131, 3132, and 3133 of the Internal Revenue Code.
The notice provides guidance to employers about reporting on Form W-2 the amount of qualified sick and family leave wages paid to employees for leave taken in 2021 under recent legislation including the Families First Coronavirus Response Act (FFCRA) as amended by the COVID-Related Tax Relief Act of 2020, and the American Rescue Plan Act of 2021.
Employers will be required to report these amounts to employees either on Form W-2, Box 14, or in a separate statement provided with the Form W-2. The notice gives employers model language to use as part of the Instructions for Employee for Form W-2 or on the separate statement provided with Form W-2.
The wage amount the notice requires employers to report on Form W-2 will provide employees who are also self-employed with the information necessary to determine the amount of any sick and family leave equivalent credits they may claim in their self-employed capacities.
IRB: 2021-39, September 27, 2021