Payroll tax rebates, or employee retention credits (ERC), were born out of the same COVID relief bill as PPP which incentivized businesses who kept employees on payroll during the pandemic. Originally, companies were limited in their ability to claim either PPP or ERC but not both. In early 2021, the rules changed, and your business can now claim ERC even if you received PPP funds. That’s great news.
How is ERC different than PPP?
PPP was a forgivable loan. ERC returns to the business payroll taxes they already paid. Once a business receives ERC funds from the U.S. Treasury, no further action is required on its part.
How do you know if your business qualifies?
The rules provide two different ways to qualify based on negative impacts from COVID. In 2020 and/or 2021, did your business experience either: 1) limitations of commerce, travel, or group meetings, or 2) a significant decline in revenue? If you answered yes to either of these questions, your business likely qualifies. In fact, over 80% of businesses that apply qualify.
How is the refund calculated?
Determining the proper amount that you are entitled to is a complex account process. Experts like CPAs and tax attorneys have to determine exactly how much money your business is eligible to receive. Republic Bank has partnered with Innovation Refunds, and helping businesses to properly unlock these government incentives is their specialty.
Is there a cost?
For Republic Bank clients, there is no upfront cost to determine if your business qualifies, and if so, to receive what amount of money. Innovation Refunds, on average, invests 14 hours of expert time – at their expense – to determine your eligibility. You will never be charged for that time. If you decide to move forward, Innovation Refunds merely share in a percentage of the money that you actually receive from the government.
How much time do I have?
Time is of the essence. We all know that government-funded programs are subject to change. As of today, you can obtain these funds, but for how long remains uncertain. PPP, Restaurant Revitalization, and other funds ran out without notice. Don’t delay! Be sure to claim your spot in line and receive the funds rightfully owed to you.
If you’re ready to begin, or at least curious about what your business may be entitled to, Republic Bank has partnered with Innovation Refunds to make the process as easy as possible for you. Get started here with our simple 12-minute survey, and put the experts to work for you today.