Washington, D.C. – U.S. Representatives Darin LaHood (R-IL), Stephanie Murphy (D-FL), Tom Rice (R-SC), and Jimmy Panetta (D-CA) today reintroduced the Healthy Workplace Tax Credit. This legislation is a new way to help businesses safely and responsibly reopen our economy and protect the health and well-being of workers.

The Healthy Workplace Tax Credit will help businesses reopen safely and restore worker and customer confidence. Here’s how:

  • Encourages and enables businesses to take the recommended steps to prevent the spread of COVID-19 in their workplaces
  • Provides a refundable tax credit against payroll taxes for 50% of the costs incurred by the business for COVID-19 testing, personal protection equipment (PPE), disinfecting, extra cleaning, and reconfiguring workspaces
  • Is limited to $1,000 per employee for a business’s first 500 employees, $750 per employee for the next 500 employees, $500 per employee for 1,000-2,500 employees, $250 for 2,500-5,000 employees, and $50 for each employee thereafter.

"The COVID-19 pandemic and state-mandated closures continue to hurt workers and small businesses throughout Illinois. I hear from small business owners and workers regularly who are prepared to take unprecedented steps to reopen," said Congressman LaHood. "Getting people back to work is essential to reinvigorating our economy. This bipartisan legislation will support businesses as they reopen and ensure the health and safety of their employees and the communities they serve."

“I’m proud to co-lead this bipartisan bill that will help businesses reopen and remain open in a way that protects their workers and their customers,” said Congresswoman Murphy. “Businesses want to do the right thing when it comes to making their workplaces safe and sanitary, and this bill will ensure they have the resources to do it.’

“The coronavirus pandemic continues to impact every American. As we navigate a safe reopening, business owners are taking unprecedented measures to protect their employees and patrons. Keeping Americans safe while getting back to work is a top priority.  It’s important we reconnect workers to jobs and prevent more business closures,” said Congressman Rice. “Our healthy workplace tax credit will support businesses as they reopen by incentivizing them to take extra precautions to protect the health of patrons and employees.”

“Throughout the pandemic, many small businesses on the central coast of California are making major investments to keep their customers and employees safe.  By spending money so that their businesses stay safe, open, and within the public health guidelines, the owners' profit margins are even thinner during this time of economic difficulty,” said Congressman Panetta. “Our Healthy Workplaces Tax Credit Act is a financial fix to help small businesses cover some of those expenses.  This type of bicameral, bipartisan legislation is necessary for the continued success of our small business during COVID and our nation’s recovery.”

 “The pandemic has led to a new standard of cleanliness as well as financial hardships for many organizations,” said John Nothdurft, Director of Government Affairs of ISSA. “This tax credit will help businesses uphold cleanliness, protect employees, and restore the confidence of consumers.”

“Leading retailers continue to make significant investments in order to keep their employees, customers, and communities safe. These investments in physical stores, distribution centers and retail operations have allowed American families to have access to the products necessary for their families to adapt to our new circumstances,” said Michael Hanson, Senior Executive Vice President of the Retail Industry Leaders Association. “Defraying some of these extensive costs as contemplated in the legislation introduced by Representatives Murphy, Panetta, Rice and LaHood recognizes the important role retailers play in the nation’s fight against COVID.”   

The Healthy Workplace Tax Credit is endorsed by the American Action Forum, Americans for Tax Reform, International Sanitary Supply Association, Job Creators Network, National Association of Manufacturers, National Grocers Association, National Restaurant Association, National Retail Federation, and the Retail Industry Leaders Association.

Last Congress, Rep. LaHood introduced the Clean Start Back to Work Act, which would provide offer businesses a temporary tax credit to help offset the increased costs of cleaning and disinfecting their workspaces.