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Cleaning Tax Credit Included in Senate Coronavirus Relief Package

ISSA applauds Senate Republicans for including a “safe and healthy workplace tax credit,” which ISSA has been spearheading for several months, in the coronavirus relief package released on July 27, 2020.

The Health, Economic Assistance, Liability Protection, and Schools Act or HEALS Act would establish a refundable payroll tax credit equal to 50% of an employer’s “qualified employee protection expenses,” such as testing for COVID-19, protective personal equipment (PPE), cleaning products or services, qualified workplace reconfiguration expenses, and qualified workplace technology expenses.

Business, nonprofits, independent contractors, and self-employed individuals would all qualify for the tax credit. The amount of the credit would be based on the employer’s average number of employees. In each calendar quarter, qualified expenses could not exceed a cap based on the average number of employees. The cap would be equal to US$1,000 for each of the first 500 employees, plus US$750 for each employee between 500 and 1,000, plus US$500 for each employee that exceeds 1,000. The credit would apply to amounts paid or incurred for qualified employee protection expenses after March 12, 2020, and before January 1, 2021.

“ISSA thanks Republican Senate leadership for including the tax credit in this legislation, which recognizes the need to help employers offset the significant additional costs for cleaning and disinfecting due to the COVID-19 pandemic and to maintain a safe and healthy workplace for employees and customers,” said John Nothdurft, ISSA Director of Government Affairs. “We look forward to working with members of both the Senate and U.S. House of Representatives to pass a bipartisan reopening safely tax credit as part of the next federal stimulus package.”

ISSA has been leading a coalition of more than 30 business groups together representing millions of employees to educate Congress about this bipartisan tax credit proposal. Additionally, more than 580 ISSA members and advocates have sent 3,670 emails to 375 elected officials urging them to support the reopening tax credit in the next federal stimulus bill. We urgently need ISSA members and advocates to take a moment to contact their elected officials using ISSA’s Action Center to ensure that the reopening safely tax credit is included in any final package passed by Congress and signed by the President.

ISSA is working diligently to support the full spectrum of the cleaning industry in the U.S. and worldwide during the COVID-19 pandemic, including providing a variety of government affairs resources to support its members during this challenging time. Please contact your elected officials and support the ISSA Advocacy Fund in any amount to help ISSA continue to garner support for a reopening safely tax credit. For questions regarding ISSA’s advocacy efforts, including the association’s response to COVID-19, please contact [email protected].