Calculating Your SETC Tax Credit Refund Amount
Once you've established that you qualify for the SETC Tax Credit, the next step is to calculate your potential credit amount.
You can find out how in the following details. The SETC Tax Credit amount is influenced by your daily self-employment income on average and the number of workdays missed due to COVID-19 impacts.
For instance, the sick leave credit amount is equal to the lesser of $511 USD or all of your average daily what is the setc tax credit income from self-employment for a certain number of days when you couldn’t work due to reasons like being quarantined or experiencing COVID-19 symptoms.
On the other hand, the qualified paid family leave equivalent amount is the lesser of $200 or two-thirds of your daily income from self-employment on average.
This applies for days when you were unable to work because of COVID-19 related circumstances.
Moreover, if you and your spouse are self-employed, you can each claim a maximum SETC Tax Credit limit, provided you do not share the qualifying days related to COVID.
To determine setc tax credit your SETC Tax Credit, you would use IRS Form 7202, which takes into account eligibility according to self-employment status and COVID-related interruptions, as well as the family leave credit.