Key Specifics Of Employee Retention Credit
What is the Employee Retention Credit?
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Simply put, the Employee Retention credit (ERC), is exactly what it sounds. It rewards business owners for keeping employees on payroll during the pandemic. We are working closely with decision-makers in Washington on this nationwide effort to help the U.S. economy not only recover from the pandemic but come back stronger than before.
5 Things to Know about the ERC
To help you cut through the noise, we're debunking the most common misunderstandings currently circulating in the ERC world. This is important:
Not every business qualifies for ERC
Most likely, you won't be able to claim $26k per employee
Not every COVID impact qualifies a business
Not every government guideline qualifies a business
Claiming PPP affects how much ERC can be claimed
How to Qualify
Even if you have already reviewed the ERC, we recommend that you take a second look with one our specialists. The program is still not living up to its potential. Many business owners are disqualifying themselves prematurely due to misinformation about who qualifies and who doesn't.
The overarching theme for businesses to focus on is how the coronavirus pandemic impacted our economy as a whole... so even if your business grew or was deemed an essential business during the pandemic, there are more qualifying factors to look at before you disqualify yourself.
The payroll tax credit is available to all essential and non-essential companies in any industry that has suffered the effects of the pandemic. Government orders--on federal, state, and local levels--are a major factor that many business owners had to adapt to over the last year and a half. Examples of affected businesses include a restaurant that could not let customers dine indoors or a manufacturer that had to slow their operations due to new health and safety restrictions.
Here are some impacts to consider that help you determine your business's eligibility for the ERC:
Full shutdowns;
Partial shut downs
Interrupted operations;
Supply chain interruptions;
Inability to access equipment
Capacity to operate is limited
Inability to work with your vendors;
Reduced services or goods provided to customers
Cut down on your hours of operation; and
Shifting hours can improve sanitation in your facility
For details about erc wages go to the best webpage: http://ErcGrantCheck.com