The Most Important Question:

Do I Qualify for the Employee Retention Tax Credit?

"Do I qualify for ERC?" is THE MOST asked question by businesses trying to navigate the complexities of the Employee Retention Tax Credit. Our comprehensive FAQ section delves into the intricacies of ERC eligibility, calculation, documentation, and potential benefits. With ever-evolving guidelines, many businesses seek clarity on intertwining issues like PPP loans and the ERC, the chances of an IRS audit, and the urgency to claim credits due to potential legislative changes. Dive into our answers to empower your business with the most up-to-date knowledge on the ERC landscape.

The Top 10 Most Asked Questions About the ERC:

Navigating the world of tax credits and financial incentives can be a daunting task, especially when it pertains to measures introduced in response to unforeseen economic challenges. The Employee Retention Tax Credit (ERC) stands out as one such pivotal financial tool aimed at assisting businesses during trying times. However, its evolving nature and intricacies have given rise to a slew of questions. To aid in demystifying this crucial tax credit, we've compiled the top 10 most frequently asked questions about the ERC, providing clear answers to guide businesses toward informed decision-making. Dive in to gain a comprehensive understanding of this significant financial lever.

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While eligibility depends on factors like experiencing a decline in gross receipts or operational suspensions due to COVID-19-related mandates, each business's situation can be unique.

ABSOLUTELY. Previously, businesses couldn't claim both, but subsequent amendments allow for both benefits, albeit not on the same wages. 

The ERC must be coordinated with other COVID-19 relief provisions, ensuring no "double-dipping" on benefits. Use a trusted tax attorney to file your ERC claim.

The amount depends on factors like the number of employees, qualifying wages, and the specific time frame in question. Using an ERC calculator can help.

The amount depends on factors like the number of employees, qualifying wages, and the specific time frame in question. Using an ERC calculator can help. Our ERC calculator was developed by tax attorneys to give you an accurate estimate of what you may qualify for. As always, it is not advised that you attempt to do this without a licensed tax attorney to guide you.

Proper documentation includes payroll records, gross receipts for the relevant quarters, and proof of operational suspension due to government mandates, among other things.

While there's no direct correlation, it's essential to ensure complete compliance to avoid audit triggers.

Timelines can vary, but typically businesses wait 4-6 months to receive their ERC check in the mail.

This is a valid concern, given the dynamic nature of the ERC guidelines. Regularly consulting with a tax attorney can help businesses stay updated and adjust claims if necessary.

This is where expertise comes in. Consulting with a specialized tax attorney ensures you're not leaving money on the table and that you're within the confines of the law.

For businesses apprehensive about the ERC, it's vital to remember that while the credit offers significant benefits, it's also surrounded by intricate guidelines. Partnering with a trusted tax attorney who specializes in the ERC can alleviate concerns, ensure accurate claims, and maximize potential benefits.

Top 5 Myths About the ERC:

The Employee Retention Tax Credit (ERC) has been a topic of much discussion and, consequently, a source of numerous misconceptions. As businesses grapple with the complexities of this credit, several myths have taken root. Here are the top five myths about the ERC:

One of themost persistent myths is that businesses that received a Paycheck Protection Program (PPP) loan are ineligible for the ERC. In truth, while initially, there was a restriction, subsequent legislative changes have allowed businesses to claim both, provided they don't "double-dip" by using the same wages for PPP forgiveness and the ERC.

Given the dynamic nature of tax incentives like the ERC, it's imperative for businesses to stay informed and consult with professionals who specialize in this area, like tax attorneys, to debunk myths and get accurate guidance.

If Your CPA Disqualfied You, Get a Second Opinion!

While many Certified Public Accountants (CPAs) are knowledgeable about general tax matters, the evolving landscape of the Employee Retention Tax Credit (ERC) presents complexities that might be outside the expertise of some accounting professionals. There can be instances where they may inadvertently disqualify businesses from the ERC, even when they may qualify.

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Here are five reasons a CPA might mistakenly disqualify a business:

The definition of "full" and "partial" operational shutdowns due to government orders can be intricate. A CPA might believe that only businesses that experienced a complete halt qualify, while in reality, businesses that faced partial interruptions in operations might also be eligible.

It's essential for businesses to recognize the value of consulting with professionals specialized in ERC guidelines, such as tax attorneys, to ensure they are maximizing their potential benefits.

Additional FAQ's

Nothing, getting your Employee Retention Tax Credit is entirely free, no credit card or bank information is required. This credit comes directly from the federal government in the form of a check mailed directly to you. We work strictly on a contingency fee meaning we don't get paid until you do and we only receive a small part of the credits for our legal and accounting services provided.

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So... Do I Qualify for the Employee Retention Tax Credit?

Yes, you may qualify! The first step in the process is to speak with one of our attorney either over the phone or on a video conference to discuss your tax credits and answer any questions you have.

Our streamlined processes allow you to complete the process with just a relatively small time investment Upload a few documents (if applicable) like your your payroll tax returns, fill out an online questionnaire, document the impacts to your business and sign your ERTC summary once we prepare it.

We take on most of the work so you don't have to. You have three years to amend a timely filed payroll tax return to claim the credit for the applicable quarter, however, the ERC program could be terminated or limited by a law change or a change in IRS formal guidance without notice. For qualified businesses owners considering claiming the ERC, they should act with a sense of urgency. Small employers receive enhanced benefits under the ERC program. Specifically, for the time they are an Eligible Employer, they can include wages paid to all employees. Large employers can only include wages paid to employees for not providing services.

Our lawyers can control the quality of our work, but we cannot control the behavior of the IRS. While the chances of an audit are extremely remote, if a business advances a good faith position that it is entitled to the credit, an audit should not be of meaningful concern.

Our attorneys will advise you regarding what information a business needs to gather to qualify for the credit. We also offer 100% FREE audit defense in the event that you need representation.