What is <a href="https://officialsetcrefund.com/learn/setc-tax-credit/">this guide has details</a> ?<br /><br />The SETC, short for "Self-Employed Tax Credit", is a specialized tax credit created to offer financial relief to self-employed individuals who were harmed by the COVID-19 pandemic. This credit was implemented as part of the Families First Coronavirus Response Act (FFCRA) to support sole proprietors, independent contractors, gig workers, and other self-employed professionals experiencing economic challenges due to the pandemic.<br /><br /><br /><br />One of the key features of the SETC tax credit is that it is a refundable credit, not a loan. This means that entitled self-employed people can get the credit as a refund, even if they have no tax liability. The credit effectively reduces their tax burden on a dollar-for-dollar basis, likely leading to a significant increase in their tax refund.<br /><br />The SETC tax credit is intended to give self-employed people financial support like the paid sick and family leave benefits typically offered to employees. By giving this credit, the government acknowledges the unique challenges faced by the self-employed sector during the pandemic and attempts to mitigate income disruptions and ensure greater financial stability for these professionals.<br /><br />