H. R. 6201—38 
(1) WAGES TAKEN INTO ACCOUNT.—The amount of qualified 
family leave wages taken into account under subsection (a) 
with respect to any individual shall not exceed— 
(A) for any day (or portion thereof) for which the indi-
vidual is paid qualified family leave wages, $200, and 
(B) in the aggregate with respect to all calendar quar-
ters, $10,000. 
(2) CREDIT LIMITED TO CERTAIN EMPLOYMENT TAXES.—The 
credit allowed by subsection (a) with respect to any calendar 
quarter shall not exceed the tax imposed by section 3111(a) 
or 3221(a) of such Code for such calendar quarter (reduced 
by any credits allowed under subsections (e) and (f) of section 
3111 of such Code, and section 7001 of this Act, for such 
quarter) on the wages paid with respect to the employment 
of all employees of the employer. 
(3) REFUNDABILITY OF EXCESS CREDIT.—If the amount of 
the credit under subsection (a) exceeds the limitation of para-
graph (2) for any calendar quarter, such excess shall be treated 
as an overpayment that shall be refunded under sections 
6402(a) and 6413(b) of such Code. 
(c) QUALIFIED FAMILY LEAVE WAGES.—For purposes of this 
section, the term ‘‘qualified family leave wages’’ means wages (as 
defined in section 3121(a) of such Code) and compensation (as 
defined in section 3231(e) of the Internal Revenue Code) paid by 
an employer which are required to be paid by reason of the Emer-
gency Family and Medical Leave Expansion Act (including the 
amendments made by such Act). 
(d) ALLOWANCE
OF
CREDIT
FOR
CERTAIN
HEALTH
PLAN 
EXPENSES.— 
(1) IN GENERAL.—The amount of the credit allowed under 
subsection (a) shall be increased by so much of the employer’s 
qualified health plan expenses as are properly allocable to 
the qualified family leave wages for which such credit is so 
allowed. 
(2) QUALIFIED HEALTH PLAN EXPENSES.—For purposes of 
this subsection, the term ‘‘qualified health plan expenses’’ 
means amounts paid or incurred by the employer to provide 
and maintain a group health plan (as defined in section 
5000(b)(1) of the Internal Revenue Code of 1986), but only 
to the extent that such amounts are excluded from the gross 
income of employees by reason of section 106(a) of such Code. 
(3) ALLOCATION RULES.—For purposes of this section, quali-
fied health plan expenses shall be allocated to qualified family 
leave wages in such manner as the Secretary of the Treasury 
(or the Secretary’s delegate) may prescribe. Except as otherwise 
provided by the Secretary, such allocation shall be treated 
as properly made if made on the basis of being pro rata among 
covered employees and pro rata on the basis of periods of 
coverage (relative to the time periods of leave to which such 
wages relate). 
(e) SPECIAL RULES.— 
(1) DENIAL OF DOUBLE BENEFIT.—For purposes of chapter 
1 of such Code, the gross income of the employer, for the 
taxable year which includes the last day of any calendar quarter 
with respect to which a credit is allowed under this section, 
shall be increased by the amount of such credit. Any wages 
taken into account in determining the credit allowed under
H. R. 6201—39 
this section shall not be taken into account for purposes of 
determining the credit allowed under section 45S of such Code. 
(2) ELECTION NOT TO HAVE SECTION APPLY.—This section 
shall not apply with respect to any employer for any calendar 
quarter if such employer elects (at such time and in such 
manner as the Secretary of the Treasury (or the Secretary’s 
delegate) may prescribe) not to have this section apply. 
(3) CERTAIN TERMS.—Any term used in this section which 
is also used in chapter 21 of such Code shall have the same 
meaning as when used in such chapter. 
(4) CERTAIN GOVERNMENTAL EMPLOYERS.—This credit shall 
not apply to the Government of the United States, the govern-
ment of any State or political subdivision thereof, or any agency 
or instrumentality of any of the foregoing. 
(f) REGULATIONS.—The Secretary of the Treasury (or the Sec-
retary’s delegate) shall prescribe such regulations or other guidance 
as may be necessary to carry out the purposes of this section, 
including— 
(1) regulations or other guidance to prevent the avoidance 
of the purposes of the limitations under this section, 
(2) regulations or other guidance to minimize compliance 
and record-keeping burdens under this section, 
(3) regulations or other guidance providing for waiver of 
penalties for failure to deposit amounts in anticipation of the 
allowance of the credit allowed under this section, 
(4) regulations or other guidance for recapturing the benefit 
of credits determined under this section in cases where there 
is a subsequent adjustment to the credit determined under 
subsection (a), and 
(5) regulations or other guidance to ensure that the wages 
taken into account under this section conform with the paid 
leave required to be provided under the Emergency Family 
and Medical Leave Expansion Act (including the amendments 
made by such Act). 
(g) APPLICATION OF SECTION.—This section shall apply only 
to wages paid with respect to the period beginning on a date 
selected by the Secretary of the Treasury (or the Secretary’s dele-
gate) which is during the 15-day period beginning on the date 
of the enactment of this Act, and ending on December 31, 2020. 
(h) TRANSFERS TO FEDERAL OLD-AGE AND SURVIVORS INSUR-
ANCE TRUST FUND.—There are hereby appropriated to the Federal 
Old-Age and Survivors Insurance Trust Fund and the Federal Dis-
ability Insurance Trust Fund established under section 201 of the 
Social Security Act (42 U.S.C. 401) and the Social Security Equiva-
lent Benefit Account established under section 15A(a) of the Rail-
road Retirement Act of 1974 (45 U.S.C. 231n–1(a)) amounts equal 
to the reduction in revenues to the Treasury by reason of this 
section (without regard to this subsection). Amounts appropriated 
by the preceding sentence shall be transferred from the general 
fund at such times and in such manner as to replicate to the 
extent possible the transfers which would have occurred to such 
Trust Fund or Account had this section not been enacted.
H. R. 6201—40 
SEC. 7004. CREDIT FOR FAMILY LEAVE FOR CERTAIN SELF-EMPLOYED 
INDIVIDUALS. 
(a) CREDIT AGAINST SELF-EMPLOYMENT TAX.—In the case of 
an eligible self-employed individual, there shall be allowed as a 
credit against the tax imposed by subtitle A of the Internal Revenue 
Code of 1986 for any taxable year an amount equal to 100 percent 
of the qualified family leave equivalent amount with respect to 
the individual. 
(b) ELIGIBLE SELF-EMPLOYED INDIVIDUAL.—For purposes of this 
section, the term ‘‘eligible self-employed individual’’ means an indi-
vidual who— 
(1) regularly carries on any trade or business within the 
meaning of section 1402 of such Code, and 
(2) would be entitled to receive paid leave during the tax-
able year pursuant to the Emergency Family and Medical Leave 
Expansion Act if the individual were an employee of an 
employer (other than himself or herself). 
(c) QUALIFIED FAMILY LEAVE EQUIVALENT AMOUNT.—For pur-
poses of this section— 
(1) IN GENERAL.—The term ‘‘qualified family leave equiva-
lent amount’’ means, with respect to any eligible self-employed 
individual, an amount equal to the product of— 
(A) the number of days (not to exceed 50) during the 
taxable year that the individual is unable to perform serv-
ices in any trade or business referred to in section 1402 
of such Code for a reason with respect to which such 
individual would be entitled to receive paid leave as 
described in subsection (b), multiplied by 
(B) the lesser of— 
(i) 67 percent of the average daily self-employment 
income of the individual for the taxable year, or 
(ii) $200. 
(2) AVERAGE DAILY SELF-EMPLOYMENT INCOME.—For pur-
poses of this subsection, the term ‘‘average daily self-employ-
ment income’’ means an amount equal to— 
(A) the net earnings from self-employment income of 
the individual for the taxable year, divided by 
(B) 260. 
(d) SPECIAL RULES.— 
(1) CREDIT REFUNDABLE.— 
(A) IN GENERAL.—The credit determined under this 
section shall be treated as a credit allowed to the taxpayer 
under subpart C of part IV of subchapter A of chapter 
1 of such Code. 
(B) TREATMENT OF PAYMENTS.—For purposes of section 
1324 of title 31, United States Code, any refund due from 
the credit determined under this section shall be treated 
in the same manner as a refund due from a credit provision 
referred to in subsection (b)(2) of such section. 
(2) DOCUMENTATION.—No credit shall be allowed under 
this section unless the individual maintains such documenta-
tion as the Secretary of the Treasury (or the Secretary’s dele-
gate) may prescribe to establish such individual as an eligible 
self-employed individual. 
(3) DENIAL OF DOUBLE BENEFIT.—In the case of an indi-
vidual who receives wages (as defined in section 3121(a) of 
the Internal Revenue Code of 1986) or compensation (as defined
H. R. 6201—41 
in section 3231(e) of the Internal Revenue Code) paid by an 
employer which are required to be paid by reason of the Emer-
gency Family and Medical Leave Expansion Act, the qualified 
family leave equivalent amount otherwise described in sub-
section (c) shall be reduced (but not below zero) to the extent 
that the sum of the amount described in such subsection and 
in section 7003(b)(1) exceeds $10,000. 
(4) CERTAIN TERMS.—Any term used in this section which 
is also used in chapter 2 of the Internal Revenue Code of 
1986 shall have the same meaning as when used in such 
chapter. 
(5) REFERENCES TO EMERGENCY FAMILY AND MEDICAL LEAVE 
EXPANSION ACT.—Any reference in this section to the Emer-
gency Family and Medical Leave Expansion Act shall be treated 
as including a reference to the amendments made by such 
Act. 
(e) APPLICATION OF SECTION.—Only days occurring during the 
period beginning on a date selected by the Secretary of the Treasury 
(or the Secretary’s delegate) which is during the 15-day period 
beginning on the date of the enactment of this Act, and ending 
on December 31, 2020, may be taken into account under subsection 
(c)(1)(A). 
(f) APPLICATION OF CREDIT IN CERTAIN POSSESSIONS.— 
(1) PAYMENTS TO POSSESSIONS WITH MIRROR CODE TAX SYS-
TEMS.—The Secretary of the Treasury (or the Secretary’s dele-
gate) shall pay to each possession of the United States which 
has a mirror code tax system amounts equal to the loss (if 
any) to that possession by reason of the application of the 
provisions of this section. Such amounts shall be determined 
by the Secretary of the Treasury (or the Secretary’s delegate) 
based on information provided by the government of the respec-
tive possession. 
(2) PAYMENTS TO OTHER POSSESSIONS.—The Secretary of 
the Treasury (or the Secretary’s delegate) shall pay to each 
possession of the United States which does not have a mirror 
code tax system amounts estimated by the Secretary of the 
Treasury (or the Secretary’s delegate) as being equal to the 
aggregate benefits (if any) that would have been provided to 
residents of such possession by reason of the provisions of 
this section if a mirror code tax system had been in effect 
in such possession. The preceding sentence shall not apply 
unless the respective possession has a plan, which has been 
approved by the Secretary of the Treasury (or the Secretary’s 
delegate), under which such possession will promptly distribute 
such payments to its residents. 
(3) MIRROR CODE TAX SYSTEM.—For purposes of this section, 
the term ‘‘mirror code tax system’’ means, with respect to 
any possession of the United States, the income tax system 
of such possession if the income tax liability of the residents 
of such possession under such system is determined by ref-
erence to the income tax laws of the United States as if such 
possession were the United States. 
(4) TREATMENT OF PAYMENTS.—For purposes of section 1324 
of title 31, United States Code, the payments under this section 
shall be treated in the same manner as a refund due from 
a credit provision referred to in subsection (b)(2) of such section.