Save Up To $12,000 On Your Taxes If You Or A Family Member Had COVID
By Dave Basner
February 12, 2021
With the stimulus checks, the government has attempted to help Americans who have been financially struggling because of the pandemic, but that's not the only relief that is being offered. Some people might also be eligible for a huge tax break if they were unable to work because of their own health or because they had to care for a sick family member. It's all thanks to the Families First Coronavirus Response Act, which applies to anyone who is self-employed that had to take a leave between April 1, 2020 and December 31, 2020.
According to the IRS, the credit "allows eligible self-employed individuals who, due to COVID-19 are unable to work or telework for reasons relating to their own health or to care for a family member, to claim refundable tax credits to offset their federal income tax." There are two separate amounts you could receive: sick leave, up to $2,000, and family leave, up to $10,000. The IRS explained that credit you can get is equal to your qualified sick leave or family leave amount, depending on circumstances. You can figure out what the number is for you for sick leave here and for family leave here.
If you are eligible, you have to fill out a Form 7202 and provide some documentation. To learn more or to get the form, head here.
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