IRS Provides 税payer-Friendly Guidance for the Employee Retention Credit

As if the world of 税es could be any more confusing for business owners, COVID确实让他们的情况发生了变化. 购买力平价, ARP and ERC are just a few of the programs in this alphabet soup that are designed to aid employers during difficult economic times.

什么是员工保留信用?

The Employee Retention Credit (ERC) permits eligible employers, 包括免税组织, 3月12日以后发工资的工人, 2020年1月1日之前, 申请“可退还的”工资税抵免.  Organizations can become eligible by either meeting a gross receipts test or by being impacted fully or partially by Federal, 州或地方政府下令暂停运营.  根据总收入的下降而获得资格, an organization must compare calendar quarters in 2020 and in 2021 to the same calendar quarters in 2019 (pre-pandemic).  If, 当比较这些季度时, the organization has a 50% decline (2020 quarters) or a 20% decline (2021 quarters), 它可能有资格获得ERC. 

明确“总收入”.”

IRS Rev process. 2021-33 shines some light on safe harbors that allow employers to exclude certain items from “gross receipts” when determining eligibility for the ERC. The items covered by this safe harbor are: (1) the amount of the forgiveness from the Paycheck Protection Program (购买力平价) loan, (2) Shuttered Venue Operators Grants (“SVOG”) under Section 324 of the Economic Aid Act, and (3) Restaurant Revitalization Grants (“RRG”) under Section 5003 of the American Rescue Plan Act. Employers are required to apply this safe harbor consistently for each relevant quarter.

This guidance reflects Congress’s intent that an employer be able to participate in relief programs and be able to claim the ERC. Including the amount of the forgiveness of a 购买力平价 loan or the amount of previously stated grants in gross receipts for determining eligibility to claim the ERC would frustrate this intent and make it more difficult for small businesses to qualify for the ERC. 雇主不需要申请这个安全港. Application or revocation of this safe harbor election may be done at the employer’s discretion, 只要始终如一地应用.

有了这个指导, the IRS has provided 税payer-friendly guidance to organizations that may have otherwise not been able to qualify for the ERC under the gross receipts test.  The 税 Advisory group at Schneider Downs has significant experience consulting with organizations on all aspects of the ERC.  For more information on how your business may qualify for the ERC and other relevant grants under COVID-19 legislation, 请联系 马修·沃纳, 罗斯亚历山德罗 or your current Schneider Downs representative for additional information.