The Employee Retention Credit is part of the reconstituted Paycheck Protection Program and is designed to help businesses who have been adversely affected by the COVID-19 pandemic retain their employees.
Businesses who meet certain requirements may be eligible for the ERC, even if they obtained PPP funding in 2020.
It is important to note however, there are differences in the eligibility requirements and calculations for the ERC between the first PPP and the most recent version, which was signed into law late in 2020.
While eligibility between 2020 and 2021 has not dramatically changed, there are slight differences.
Eligible employers must meet the criteria of at least one of two tests: A government ordered test or a gross receipts test.
Zinner & Co. urges readers to download our latest ebook: Does your Business now qualify for the Employee Retention Credit?
This free ebook will provide insights into the differences between the ERC in 2020 and 2021.
It also explains what the government considers qualified wages and how the size of the a company can determine who qualifies for the credit.
This ebook also explains how business and non-profits can claim the 2021 ERC.
Do not wait, download our free ebook today learn how your organization may benefit from the Employee Retention Credit.
If you have any questions, please contact one of our Zinnner & Co. recovery specialists to learn more about the PPP and ERC.