Tips for Filing Taxes to Claim the Employee Retention Credit
Since little over two years ago, there has been the Employee Retention Credit (ERC). Why is the ERC still a topic of discussion since it has been around for so long? Because if a firm qualifies, there is a HUGE reward. Credits earned in 2020 and 2021 may still be claimed now, giving firms an extra financial boost.
There are a few ways to optimize the debt forgiveness they get through their Payroll Protection Program (PPP) and the ERC. The exciting part is when a company claims the credit (and receives their return!) after determining they are eligible and calculating their ERC.
How can companies apply for the ERC?
On their federal payroll tax returns, qualified employers must record their ERC eligible salaries and receive the corresponding tax credits (Form 941). The only way to claim the ERC right now is an updated payroll tax return since the credit no longer applies after the...