Employee Retention Credit

Paycheck Protection Program

Extended and Expanded


erc

There is some fantastic news for businesses to start 2021!


On March 11, 2021, President Biden signed the American Rescue Plan Act of 2021 stimulus bill into law. Among the many provisions within the legislation includes another six-month extension of the CARES Act Employee Retention Credit (ERC), through December 31,2021.


Employers can capture a tax credit of up to $14,000 in additional credits per employee, or up to $33,000 in refundable tax credits per employee.

This recent legislation further expands the ERC, a refundable payroll tax credit, to include wages for eligible employers from July 1, 2021 to December 31, 2021. In December 2020, the second relief stimulus extended the ERC to June 30, 2021 and expanded the credit to $7,000 per employee per quarter in 2021, among other provisions.

This legislation continues to give more businesses an opportunity to earn the ERC. For example, employers that received Paycheck Protection Program (PPP) loans can now also qualify for the ERC for wages that are not paid for with forgiven PPP loans.



Here is the breakdown:

  • Up to $5,000 per employee per year in 2020 (50% of wages up to $10,000)
  • Up to $7,000 per employee per quarter in 2021 (70% of wages up to $10,000)

Also the PPP loan program was enhanced to add as “forgivable expenses” supplier costs on existing contracts and purchase orders, including perishable goods, worker protective equipment, and technology operations.

HIREtech is the leader in tax credit services, technology and consulting. HIREtech can help you identify and capture the maximum benefit from the ERC.

Don’t settle for less than you need. Let a HIREtech Tax Credit Specialist run the numbers for you and get you the maximum credit available based on your qualified employees.

The stakes are too high for you to use a firm that doesn’t have the legal or tax credit expertise you need right now.

Want to learn more about Employee Retention Credit?

We use cookies to improve your experience and offer you personalized features on the site. By accepting this or continuing to browse, you agree to our privacy policy.

HIREtech, a Paradigm Company. © 2020 HIREtech