The Tax Cuts and Jobs Act, which was signed into law on Dec. 22, 2017, creates a new business tax credit for eligible employers that provide paid family and medical leave to their employees. The tax credit, which applies to taxable years beginning in 2018 and 2019, is equal to a percentage of wages paid to qualifying employees who are on family and medical leave. This Compliance Bulletin summarizes the new employer tax credit for paid family and medical leave.