The ever-changing landscape of employee retention credit legislation has left many business owners wondering if they can still take advantage of the program. Fortunately, you can request a retroactive refund from the ERTC, as well as health care benefits, if you haven't applied for the credit before. To do so, you will declare your qualifying wages and related credits for each calendar quarter in which you qualify to receive the credit on Form 941-X, Employer Adjusted Quarterly Federal Tax Return or Request for Reimbursement, as applicable. Additionally, determining the amount of health care benefits that can be assigned to each employee depends on whether you are fully insured, self-insured, or a combination of both. The Employee Retention Tax Credit (ERTC) was created as part of the Coronavirus Aid, Relief and Economic Security Act (CARES Act) to encourage companies to keep their employees on the payroll while facing the devastating effects of COVID-19. If you have any questions about this credit or need help applying for it, Doeren Mayhew's tax advisors are here to help.
Employers with more than 500 employees can only apply for the ERTC for salaries paid to employees for whom an employee does not provide services (that is, employers who qualify for the credit can get it right now by reducing the amount of payroll tax payments they must make). Schedule a free consultation on the employee retention credit to see how much of the employee retention tax credit your company qualifies for. A full-time employee is a person who works at least 30 hours a week or 130 hours a month (on average). See IRS releases reporting on the retroactive termination of the employee retention credit for additional details. We can answer your questions and help you with the Employer Withholding Tax Credit, the CARES Act, tax consulting and filing options.
However, there is also a deadline for the employee retention tax credit, which must be considered if a company is eligible to receive the Employee Retention Tax Credit (ERTC).If group health care costs are your only expenses that qualify for this credit, talk to a business tax advisor to correctly calculate and maximize the amount of your credit. While ERTC eligibility has been expanded, determining eligibility can be difficult for employers, even before considering the data and documentation related to employees, hours and salaries needed to calculate the credits for which they may be eligible. One of the most important changes to the law is that the Employee Retention Tax Credit (ERTC) is now available to companies that have obtained or are going to obtain a loan from the Check Protection Program (PPP). A style is used to demonstrate how a choice is made and also how the excessive salaries that are spent on a credit application should be managed. If you're looking to take advantage of this program and maximize your savings, it's important to understand all of its requirements and deadlines.
To ensure that you're taking full advantage of all available credits and deductions, contact Doeren Mayhew's tax advisors today. Our team can help you navigate through all of your options and ensure that you're taking full advantage of all available credits and deductions.