The Employee Retention Credit (ERC) has been updated for 2021 and is available to businesses whose 2021 1st and/or 2nd quarter sales are at least 20% lower than the same quarter in 2019. The Employee Retention Credit credit is filed on your payroll tax return for the quarter, currently due 4/30/21. The Employee Retention Credit cannot use the same payroll utilized for forgiveness on the Paycheck Protection Program (PPP). For this reason, clients who recently received Paycheck Protection Program money may need to complete or substantially complete their covered period and forgiveness application to properly calculate the credit.
For monthly or quarterly clients we are checking the eligibility of this credit while finishing your first quarter accounting. We do not have the information to calculate this for others.
If you feel that this credit may apply to you please contact us using the form below and we will set a meeting to review. At minimum we will need your first quarter sales for 2021 and 2019 to calculate.