Income Tax Credit Leave Of Absence Organ Donation

Income tax - credit - organ donation - expenses for employee's leave of absence. For 5 income tax years beginning January 1, 2020, an employer is allowed an income tax credit that is an amount equal to 35% of the employer's expenses incurred:

• Paying an employee during his or her leave of absence period, which is paid leave given to an employee for the purpose of making an organ donation, but which does not exceed 10 working days or the hourly equivalent thereof; and
• For the cost of temporary replacement help, if any, during an employee's leave of absence period.

An employer shall not claim a tax credit related to a leave of absence period for an employee who the employer pays wages of $80,000 or more during the income tax year. The tax credit is not refundable, but unused credits may be carried forward up to 5 years. Upon request of the department of revenue as part of an audit, a taxpayer must provide the department of revenue with documentation from the employee's medical provider that verifies the employee's organ donation. The department is granted an exception from a law that prohibits it from requesting medical records or medical information.

(Note: This summary applies to this bill as enacted.)