New DC Paid Family Leave Tax Due July 2019

June 24, 2019

This is a reminder for employers with DC workers that the first quarterly tax payment for the new DC Paid Family Leave (PFL) benefit is due starting July 1 and no later than July 31, 2019, for the prior quarter’s wages.

If you have not done so already, please reach out to your payroll vendor or other agent who handles your DC unemployment insurance reporting (Form UC-30) and payment to ensure that PFL is included on the July 2019 report.

Even if your organization is not based in DC, you may have DC workers that are eligible for the new PFL benefit. You should review your state unemployment insurance report(s) to ensure that employees are included on the correct state or DC report. This review is important to prevent mistakenly excluding any covered employees, or overpayment of the PFL tax for employees who are not covered.

The definition of “covered employee” for DC PFL includes an employee:

  • Who spends more than fifty percent (50%) of his or her work time for that employer working in the District of Columbia; or
  • Whose employment for the covered employer is based in the District of Columbia and who regularly spends their work time for the covered employer in the District of Columbia, if they do not spend more than 50% of their work time for that covered employer in another jurisdiction or if work time spent outside of the District of Columbia is incidental in nature, temporary or transitory in nature, or consists of isolated transactions.

Save the date!
OneDigital is holding a client webinar on July 17 from 11 am-12 pm to review the new DC PFL law and its impact on employer paid leave and disability policies. An invitation and registration information will follow!