ERTC is Sunsetting Soon
The Employee Retention Credit (“ERTC”) was introduced as part of the Coronavirus Aid, Relief and Economic Security (“CARES”) Act to incentivize employers to retain employees during the pandemic by offering a refundable tax credit against employment taxes.
Does your business qualify?
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Our ERTC professionals help business owners review third-party ERTC calculations and submittals to insure their success. Don’t wait another minute, discover the benefits and schedule a free consultation today.
Why Trust Rockerbox for Your ERTC Administration?
- Fanatical customer service
- No contracts
- No “termination clause”
- Proprietary technology
- Tenured tax credit experts
- Cost-effective fee structure
- Easy-to-understand reports
- Stay in compliance
- Eliminate audit risk
We found over $618K in credits for a restaurant owner
Recently, the ERTC was expanded and extended as part of the Consolidated Appropriations Act, 2021 (“the Act”) to include the following provisions:
Employee Retention Tax Credit Facts
Rockerbox fees are 100% contingent upon our team capturing credits.
Our team has captured more than $200M in credits though ERTC.
Average tax credit per eligible employee through ERTC
ERTC calculations and counting…
Is Your Business Eligible for ERTC?
Since the credits captured through the ERTC offset payroll taxes, both for-profit and non-profits are eligible to participate.
Physicians / Dentists
Depending on your practice and specialty, your practice could be eligible for the ERTC program (even essential practices like family practitioners).
Golf Courses / Clubs
Many golf courses have three or four revenue streams (Golf, Memberships, F&B and Events). The latter two revenue streams were more than likely materially injured during 2020 and 2021.
Most schools, whether they be private or non-profit were asked to shutdown or reduce their capacity in 2020 and 2021. Cheer schools, dance schools, gymnastics schools, swim schools and other third party institutions of learning may qualify.
Churches / Temples
Many places of worship were asked to shutdown and/or materially limit the number of parishioners participating in activities and services.
Many law firms and attorneys were unable to engage with local, county and Federal courts during the pandemic.
Most casinos inside and outside of Las Vegas were shutdown for extended periods during the pandemic.
SMB Owners in NY, CA, NJ
States like New York, California, New Jersey, Washington, and Oregon were fairly aggressive with issuing shutdown orders throughout 2020 and 2021.
What is the Employee Retention Credit (ERC)?
Also known as the Employee Retention Tax Credit (ERTC), the Employee Retention Credit is a refundable tax credit for businesses affected by the COVID-19 pandemic.
How do you qualify for the ERC?
There are two ways businesses can qualify for the ERC: The business must have been fully or partially suspended in 2020 or the first three quarters of 2021 due to government orders related to the COVID-19 pandemic. Or, the business must have experienced a decline. Either way, the business must have had employees and paid them wages between March 13, 2020 and December 31, 2021.
How much is the ERC?
ERC amounts are based on the number of qualified employees you had during the eligibility period. It’s calculated as a percentage of the wages you paid your employees, including group health plan costs. For 2020, the ERC is 50% of qualifying employees’ wages with a benefit of up to $5,000 for the calendar year. For 2021, the ERC is 70% of qualifying employees’ wages, up to $7,000 for the calendar year.
How does a business claim the ERC?
To claim the Employee Retention Credit, employers report the qualified wages and health insurance costs paid when filing their quarterly tax returns, typically using Form 941-X. The refundable ERC is taken against an employer’s share of the social security tax paid on their employees’ wages.
What is the deadline to claim the ERC?
Payroll tax returns have to be filed on the following April 15 and additional refunds can be claimed for up to 3 years by filing an amended return. The eligibility period for the ERC was March 13, 2020 through September 30, 2021. Recovery startup businesses were eligible from July 1, 2021 through December 31, 2021. That means Employers have until April 15, 2024 to claim ERC refunds from 2020, and April 15, 2025 to claim 2021 ERC refunds.
Are tax-exempt organizations eligible for ERC?
Yes, the ERC is available for nonprofit organizations including churches. To qualify, these employers must have either been closed due to a government order or have had a decline in gross income. Tax-exempt organizations enter their ERC in Part VIII of Form 990, which is the Statement of Revenue on the Return of Organization Exempt form.