ERTC Tax Credit 2022 – Employee Retention Tax Credit is a program offered by the government to provide relief and support to businesses that have been affected by COVID-19. This program, initially available from March 13, 2020, through December 31, 2020, has now been expanded, allowing more businesses to qualify and potentially receive up to $26,000 per W-2 employee. Our specialized accounting firm is here to assist you with the application process, ensuring that you receive all the money you qualify for. We go the extra mile to uncover additional opportunities for your business, such as considering funds paid out for healthcare benefits as wages in the calculations. Applying for this program is crucial, as any business owner with W-2 employees impacted by COVID-19 may have a government check waiting for them. Visit our website to see how much your business potentially qualifies for and take the first step towards securing the financial assistance you need. There is no cost involved, and if you have any questions, feel free to reach out to us. Let us know once you have applied so we can provide further support.
The COVID-19 pandemic has had significant economic impacts, one of which being unemployment rates skyrocketing. However, the government has stepped in to provide relief through measures like the CARES Act, which included the Paycheck Protection Program (PPP) that provided loans to businesses to retain their employees. While the PPP is no longer available as of May 31, 2021, there is another opportunity for businesses called the Employee Retention Tax Credit (ERTC). Originally a refundable payroll tax credit available from March 13, 2020, through December 31, 2020, the ERTC has been expanded to accommodate more businesses. This means you can potentially receive up to $26,000 per W-2 employee. Take advantage of this program by applying now through our specialized accounting firm, which will ensure you get the maximum amount you qualify for. Remember, there’s no cost involved, so don’t miss out on this opportunity to receive financial assistance for your business. Let us know if you have any questions, and apply today!
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ERTC Tax Credit 2022
Overview of the ERTC Tax Credit
The Employee Retention Tax Credit (ERTC) is a program introduced by the government to provide financial relief to businesses affected by the COVID-19 pandemic. Initially available from March 13, 2020, through December 31, 2020, the ERTC has since been expanded and revised to allow more businesses to qualify and receive potentially up to $26,000 per W-2 employee. This program is designed to help businesses retain their employees and recover from the economic impact of the pandemic.
Expansion of the ERTC Program
The ERTC program has undergone several revisions and additions, including enhancements through the American Rescue Act. The program was initially unavailable to businesses that received PPP loans, but it has now been made available to all businesses. These revisions and expansions aim to ensure that small and medium-sized businesses have access to the financial support they need to recover from the effects of COVID-19. It’s important for business owners to take advantage of this opportunity and apply for the ERTC as soon as possible.
CARES Act and PPP
Introduction to the CARES Act
The CARES Act stands for the Coronavirus Aid, Relief, and Economic Security Act. It was introduced by the government to provide economic relief to businesses and individuals affected by the COVID-19 pandemic. The CARES Act introduced various programs and initiatives, including the Paycheck Protection Program (PPP), which offered loans to qualifying businesses to help them retain their employees during the pandemic.
Overview of the PPP Loan Program
The PPP loan program was a crucial component of the CARES Act. Businesses that qualified for the program received loans to cover their payroll expenses and other essential business costs. The loans were designed to be forgivable, meaning that if businesses used the funds for eligible expenses, the loans would be fully or partially forgiven by the government. This provided businesses with much-needed financial support to navigate the challenges posed by the pandemic.
Loan Forgiveness of PPP Loans
According to data from the Small Business Administration (SBA), more than 88% of businesses that received PPP loans have had their loans fully or partially forgiven by the government. This means that these businesses no longer have to repay the loans they received under the program. The forgiveness of PPP loans has been a significant relief for businesses, allowing them to alleviate their financial burden and focus on recovering from the impact of the pandemic.
Impact of COVID-19 on Businesses
Unemployment Rates during COVID-19
The COVID-19 pandemic caused a significant increase in unemployment rates worldwide. In the United States, unemployment rose rapidly due to the economic disruptions caused by the pandemic. The U.S. Bureau of Labor Statistics reported that unemployment generally rises much faster than it falls, highlighting the challenges faced by businesses and workers during these uncertain times.
Shutdowns and Essential vs Non-Essential Industries
To curb the spread of the virus, governments implemented shutdowns, lockdowns, and stay-at-home orders. During this time, certain industries and workers were deemed essential, such as grocery stores, hardware stores, home services, and construction workers. Non-essential industries encompassed everything else. These measures had a significant impact on businesses, particularly those in non-essential industries, as they were required to suspend or limit their operations.
Most Heavily Impacted Industries
Several industries were heavily impacted by the COVID-19 pandemic. Restaurants and hospitality, leisure and recreation, non-profit organizations, and religious centers were among the industries that faced substantial challenges and financial losses. The graph below illustrates the sectors that were most heavily impacted by the pandemic.
The American Rescue Act
Enhancements to the CARES Act
The American Rescue Act, introduced as an extension of the CARES Act, enhanced several aspects of the initial relief package. One of the key enhancements was the expansion and revision of the Employee Retention Tax Credit (ERTC) program. These enhancements were aimed at providing additional support to businesses and ensuring that they have access to the necessary funds for recovery.
Rush for Available Funds and Oversubscribed PPP Loans
As the government introduced various relief programs, there was a rush among businesses to access the available funds. This led to oversubscribed PPP loans, with many businesses applying for these loans to secure financial assistance. The demand for funds was high, and the available money quickly ran out. Therefore, it became crucial for businesses to act quickly and ensure they secured the financial support they needed during these challenging times.
Employee Retention Tax Credit (ERTC)
Introduction to the ERTC
The Employee Retention Tax Credit (ERTC) is a refundable payroll tax credit designed to help businesses retain their employees during the COVID-19 pandemic. The program aims to provide financial relief to businesses that have experienced significant revenue losses due to the pandemic. Initially, the ERTC was not available to businesses that received PPP loans. However, it has since been expanded to include all businesses, regardless of whether they received PPP loans.
Availability of ERTC to PPP Loan Recipients
As mentioned earlier, the ERTC was initially unavailable to businesses that received PPP loans. However, the program has been revised to make it accessible to all businesses, including those that received PPP loans. This expansion ensures that businesses have additional options for financial support during these challenging times.
Revisions and Additions to the ERTC
The ERTC program has undergone multiple revisions and additions, including enhancements through the American Rescue Act. These revisions aim to make the ERTC more generous and accessible to businesses. The program has been revised to potentially provide businesses with up to $26,000 per W-2 employee. These revisions and additions are good news for small and medium-sized businesses, as they offer additional financial relief and support.
Amount and Expiration of ERTC
Businesses that qualify for the ERTC can potentially receive up to $26,000 per W-2 employee. This cash credit rebate is not a loan but a direct payment from the government. It is important to note that the ERTC has an expiration date and will expire at the end of 2024. Therefore, businesses should take advantage of this opportunity as soon as possible to receive the financial support they qualify for.
How to Qualify for ERTC
Qualifying Revenue Losses
To qualify for the ERTC, businesses must have experienced significant revenue losses compared to a specific period in 2019. The exact qualifications and calculations may vary, but businesses should be able to demonstrate a decline in revenue due to the impact of the COVID-19 pandemic. It is essential to consult with an expert accounting team or specialized ERTC provider to ensure that you meet the specific requirements for eligibility.
Application Process for ERTC
The application process for the ERTC involves filling out a simple initial inquiry form. This form allows businesses to provide basic information about their eligibility and potential qualification for the ERTC. It is a quick and straightforward process that can be completed in just one minute. By submitting the initial inquiry form, businesses can find out how much they potentially qualify for and take the necessary steps to apply for the ERTC.
Benefits of ERTC and Small Business Recovery
Cash Credit Rebate vs Loan
One of the significant benefits of the ERTC is that it offers businesses a cash credit rebate rather than a loan. This means that businesses do not have to repay the funds they receive through the ERTC. It provides immediate financial relief and support, allowing businesses to cover their expenses and focus on recovery without the burden of repayment.
Supporting Small Businesses and Nonprofits
The ERTC plays a crucial role in supporting small businesses and nonprofits that have been affected by the COVID-19 pandemic. By providing financial assistance, the government acknowledges the challenges these businesses face and aims to help them recover. The ERTC allows businesses to retain their employees, maintain their operations, and contribute to the overall recovery of the economy.
Working with a Top-Tier ERTC Provider
To ensure that businesses receive all the money they qualify for through the ERTC, it is beneficial to work with a top-tier ERTC provider. These providers specialize in assisting businesses with the application process and guide them through the complexities of the program. By collaborating with experts, businesses can maximize their potential benefits and receive the financial support they need to recover.
White Glove Service and Dedicated Account Managers
When businesses work with a top-tier ERTC provider, they can expect white glove service and dedicated account managers. These professionals are experienced in navigating the ERTC program and can provide personalized assistance to businesses. They offer support throughout the application process, answer any questions or concerns, and ensure that businesses receive the necessary funding they qualify for.
Conclusion
The Employee Retention Tax Credit (ERTC) is a valuable program that offers financial relief to businesses affected by the COVID-19 pandemic. Through this program, businesses can receive cash credit rebates to help retain their employees and recover from the economic impact of the pandemic. The ERTC has been expanded and revised, allowing more businesses to qualify and receive potentially up to $26,000 per W-2 employee. It is essential for businesses to take advantage of this opportunity and apply for the ERTC to secure the financial support they need to recover and thrive. By working with a top-tier ERTC provider and following the application process, businesses can access the funds they qualify for and contribute to the overall recovery of the economy.
You might be aware of the Government’s PPP (Paycheck Protection Program) – Many businesses received the PPP loan created two years ago, where qualifying businesses received money to help them retain their employees as a part of the CARES Act. They started out as loans. But the US Government has fully or partially forgiven more than (according to SBA metrics) 88% of businesses that received PPP Loans.
The PPPs are NO LONGER Available – as of May 31, 2021
But Now the government has stepped up again. Initially from the same COVID relief bill as the PPP.
The ERC is available as a refundable payroll tax credit.
Originally available from March 13, 2020, through December 31, 2020
But more good news…The program has been expanded and now the more generous ERTC Fund program has been revised so more businesses qualify and can receive potentially up to $26,000 PER W-2 EMPLOYEE.
So the time to apply is NOW!
Our special accounting firm – specializes in assisting businesses – like yours – with the application process – to ensure that you get all the money you qualify for.
They dig deep to find opportunities for you. For example, did you know that if you provided health care benefits to your employee and their family, the funds paid out for those benefits- also count as wages in the calculations? That is why our expert accounting team – is getting some sizable checks for the businesses that they work with.
To find out how much your business potentially qualifies for, just go to this website, and take 1 minute – to fill out the simple initial inquiry form- to see what your business qualifies to receive.
Any business owner that has W-2 employees and was affected by Covid-19 probably has a nice government check waiting for them, BUT you have to apply to get it.
Go to the website NOW to apply – you will be glad you did. There’s NO COST.
https://smallbusinessrecovery.org/
Feel free to reach out to us if you have any questions and let me know that you applied.