Calculating Your SETC Tax Credit Refund Amount
After determining your eligibility for the SETC Tax Credit, the next step is to calculate your possible refund amount.
You can learn how below. The SETC Tax Credit amount is determined by your daily self-employment income on average and the total workdays you missed due to COVID-19 effects.
For instance, the sick leave credit amount equates to the lower of $511 or all of your average daily income from self-employment for a set number of days where you couldn’t work due to reasons like quarantine or having COVID-19 symptoms.
On the other hand, the family leave credit amount is the lesser of $200 USD or 67% of your average daily self-employment income.
This applies for the days in which you couldn’t perform services because of Click for source COVID-19 related reasons.
Moreover, if both you and your spouse are both self-employed, you can each claim up to a specified SETC Tax Credit limit, as long as you do not share the qualifying days related to COVID.
To determine your SETC Tax Credit, you would use IRS setc tax credit Form 7202, which factors in eligibility based on self-employment status and COVID-related disruptions, as well as the family leave tax credit.