I 
117TH CONGRESS 
1ST SESSION H. R. 1944 
To provide tax credits for certain expenses associated with protecting 
employees from COVID–19. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 16, 2021 
Mr. RICE of South Carolina (for himself, Mrs. MURPHY of Florida, Mr. 
LAHOOD, and Mr. PANETTA) introduced the following bill; which was re-
ferred to the Committee on Ways and Means 
A BILL 
To provide tax credits for certain expenses associated with 
protecting employees from COVID–19. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Healthy Workplaces 
Act’’. 
SEC. 2. HEALTHY WORKPLACE PAYROLL TAX CREDIT. 
(a) IN GENERAL.—In the case of an employer, there 
shall be allowed as a credit against applicable employment 
taxes for each calendar quarter an amount equal to 50 
percent of the sum of— 
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(1) the qualified employee protection expenses 
paid or incurred by the employer during such cal-
endar quarter, 
(2) the qualified workplace reconfiguration ex-
penses paid or incurred by the employer during such 
calendar quarter, and 
(3) the qualified education and training ex-
penses paid or incurred by the employer during such 
calendar quarter. 
(b) LIMITATIONS AND REFUNDABILITY.— 
(1) OVERALL DOLLAR LIMITATION ON CRED-
IT.— 
(A) IN
GENERAL.—The amount of the 
credit allowed under subsection (a) with respect 
to any employer for any calendar quarter shall 
not exceed the excess (if any) of— 
(i) the applicable dollar limit with re-
spect to such employer for such calendar 
quarter, over 
(ii) the aggregate credits allowed 
under subsection (a) with respect to such 
employer for all preceding calendar quar-
ters. 
(B) APPLICABLE DOLLAR LIMIT.— 
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(i) IN GENERAL.—The term ‘‘applica-
ble dollar limit’’ means, with respect to any 
employer for any calendar quarter, the 
sum of— 
(I) $1,000, multiplied by so much 
of the average number of full-time 
employees employed by such employer 
during such calendar quarter as does 
not exceed 500, plus 
(II) $750, multiplied by so much 
of such average number of full-time 
employees as exceeds 500 but does 
not exceed 1,000, plus 
(III) $500, multiplied by so much 
of such average number of full-time 
employees as exceeds 1,000 but does 
note exceed 2,500, plus 
(IV) $250, multiplied by so much 
of such average number of full-time 
employees as exceeds 2,500 but does 
not exceed 5,000, plus 
(V) $50, multiplied by so much 
of such average number of full-time 
employees as exceeds 5,000. 
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(ii) AVERAGE NUMBER OF FULL-TIME 
EMPLOYEES.—For purposes of this sub-
section, the average number of full time 
employees shall be determined in the same 
manner as such number is determined for 
purposes of determining whether an em-
ployer is an applicable large employer for 
purposes of section 4980H(c)(2) of the In-
ternal Revenue Code of 1986, except 
that— 
(I) an individual shall not be 
taken into account as an employee for 
any period during which substantially 
all of the services provided by such in-
dividual as an employee are provided 
outside the United States, and 
(II) under regulations provided 
by the Secretary, an individual who 
performs services as an independent 
contractor shall be treated as an em-
ployee of the employer if no credit 
under this section is allowed to any 
other employer with respect to such 
individual. 
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(2) 
CREDIT
LIMITED
TO
EMPLOYMENT 
TAXES.—The credit allowed by subsection (a) with 
respect to any calendar quarter shall not exceed the 
applicable employment taxes (reduced by any credits 
allowed under subsections (e) and (f) of section 
3111 of the Internal Revenue Code of 1986, sections 
7001 and 7003 of the Families First Coronavirus 
Response Act, and section 2301 of the CARES Act) 
on the wages paid with respect to the employment 
of all the employees of the employer for such cal-
endar quarter. 
(3) REFUNDABILITY OF EXCESS CREDIT.— 
(A) IN GENERAL.—If the amount of the 
credit under subsection (a) exceeds the limita-
tion of paragraph (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 the Internal Revenue Code of 
1986. 
(B) TREATMENT OF PAYMENTS.—For pur-
poses of section 1324 of title 31, United States 
Code, any amounts due to the employer under 
this paragraph shall be treated in the same 
manner as a refund due from a credit provision 
referred to in subsection (b)(2) of such section. 
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(c) 
QUALIFIED
EMPLOYEE
PROTECTION
EX-
PENSES.—For purposes of this section, the term ‘‘quali-
fied employee protection expenses’’ means amounts (other 
than any qualified workplace reconfiguration expense) 
paid or incurred by the employer for— 
(1) testing employees of the employer for 
COVID–19 (including on a periodic basis), 
(2) equipment (including masks, gloves, and 
disinfectants) and technology systems used— 
(A) to protect customers or employees of 
the employer from contracting COVID–19, 
(B) to enhance social distancing and con-
tact tracing, or 
(C) to improve indoor air quality, including 
ventilation, filtration, and air purification, 
(3) cleaning products or services (whether pro-
vided by an employee of the taxpayer or a cleaning 
service provider) related to preventing the spread of 
COVID–19, and 
(4) such other equipment or technology which— 
(A) is recommended as part of the Federal 
government’s recommendations for safe work-
places, and 
(B) the Secretary, in consultation with the 
Secretary of Health and Human Services and 
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the Director of the Centers for Disease Control 
and Prevention, determines is necessary and ap-
propriate for preventing COVID–19. 
(d) QUALIFIED WORKPLACE RECONFIGURATION EX-
PENSES.—For purposes of this section— 
(1) IN GENERAL.—The term ‘‘qualified work-
place reconfiguration expenses’’ means amounts paid 
or incurred by the employer to evaluate, design, and 
reconfigure retail space, work areas, break areas, or 
other areas that employees or customers regularly 
use in the ordinary course of the employer’s trade or 
business if such evaluation, design, and reconfigura-
tion— 
(A) has a primary purpose of preventing 
the spread of COVID–19, 
(B) is with respect to an area that is lo-
cated in the United States and that is leased or 
owned by the employer, 
(C) is consistent with the ordinary use of 
the property immediately before the reconfig-
uration, 
(D) is commensurate with the risks faced 
by the employees or customers or is consistent 
with recommendations made by the Centers for 
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Disease Control and Prevention or the Occupa-
tional Safety and Health Administration, 
(E) is completed pursuant to a reconfig-
uration plan and no comparable reconfiguration 
plan was in place before March 13, 2020, and 
(F) is completed before January 1, 2022. 
(2) REGULATIONS.—The Secretary shall pre-
scribe such regulations and other guidance as may 
be necessary or appropriate to carry out the pur-
poses of this subsection, including guidance defining 
primary purpose and reconfiguration plan. 
(e) QUALIFIED EDUCATION
AND TRAINING EX-
PENSES.—For purposes of this section— 
(1) IN
GENERAL.—The term ‘‘qualified edu-
cation and training expenses’’ means amount paid or 
incurred to a qualified entity for the training em-
ployees on new business procedures related to pre-
venting COVID–19 transmission. 
(2) QUALIFIED ENTITY.—The term ‘‘qualified 
entity’’ means any entity certified by the Secretary 
as an accredited training institution, an industry- 
recognized trade association, or a nonprofit entity 
qualified to provide training described in paragraph 
(1). 
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(f) OTHER DEFINITIONS.—For purposes of this sec-
tion— 
(1) APPLICABLE
EMPLOYMENT
TAXES.—The 
term ‘‘applicable employment taxes’’ means the fol-
lowing: 
(A) The taxes imposed under section 
3111(a) of the Internal Revenue Code of 1986. 
(B) So much of the taxes imposed under 
section 3221(a) of such Code as are attrib-
utable to the rate in effect under section 
3111(a) of such Code. 
(2) COVID–19.—Except where the context 
clearly indicates otherwise, any reference in this sec-
tion to COVID–19 shall be treated as including a 
reference to the virus which causes COVID–19. 
(3) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of the Treasury or the Secretary’s del-
egate. 
(4) OTHER TERMS.—Any term used in this sec-
tion (other than subsection (b)(1)(B)) which is also 
used in chapter 21 or 22 of the Internal Revenue 
Code of 1986 shall have the same meaning as when 
used in such chapter. 
(g) CERTAIN GOVERNMENTAL EMPLOYERS.—This 
section shall not apply to the Government of the United 
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