Employee Retention Credit – Hoglund Law

The employee retention credit is a refundable tax credit for eligible employers that retain their employees during the COVID-19 pandemic. The credit is available to employers whose operations have been fully or partially suspended as a result of a government order related to COVID-19, or who have experienced a significant decline in gross receipts, or have been nominally affected by the pandemic.

Employee Retention Credit

Although most businesses were affected by the pandemic, only so many businesses could take advantage of the credit by qualifying under the IRS ERTC guidelines. Hoglund Law was able to help many of its clients take advantage of this tax break and get the refund they deserved.

If your business was impacted by COVID-19, you may be eligible for the employee retention credit. Contact Hoglund Law today to see if you qualify and to learn more about how we can help you get the most out of this credit.

Changes in Employee Retention Credit (ERC) To Qualify – There have been numerous and significant changes in the ERC rules to qualify more businesses. For example, when the Employee Tax Credit was first introduced as a stimulus package, it was not available to those businesses which participated in the Paycheck Protection Program (PPP) loans.

However, the new rules that were released on or subsequent to April 3, 2020 by the IRS have now made the ERC available for those employers who have received PPP loans. This change, among many others, will help many small businesses during these difficult times.

Hoglund Law is here to help you navigate these changes and determine if you are eligible for the employee retention credit. Contact us today for a free consultation.

Highlights of the Employee Retention Credit:

  • The ERC is a tax credit of up to 70% of qualified wages or $10,000 per eligible employee per quarter which equates to $7,000 per employee per quarter
  • The Employee Retention Credit is claimed on the employer’s quarterly employment tax return (Form 941)
  • Eligibility is determined on a quarterly basis
  • The same wages cannot be used for both the ERC and PPC Forgiveness. This can require some work to make sure wages are not being used under various programs.

To be eligible, an employer’s business must have been fully or partially suspended by a governmental order due to COVID-19 OR the employer must have experienced a significant decline in gross receipts or nominally impacted by the pandemic.

The Employee Retention Credit (ERC) could be a large tax credit for your business. The problem is that it is a very complicated calculation,  especially due to changes to the rules from year to year.

This is why it is so important to reach out to the employee retention credit attorneys at Hoglund Law today for a free consultation. In most cases, we have been able to get a tax refund for $20,000 per employee.

The COVID-19 pandemic has been difficult for many businesses, but the employee retention credit has been a bright spot for those who have been able to take advantage of it.

Hoglund Law is proud to have helped so many of our clients get the most out of this credit and we encourage any business that may be eligible to contact us at 612-662-3145 for a free consultation.

This is Attorney Robert Hoglund’s personal cell number. He will take your call day, evening, or weekend.

Tax Season 2023 Countdown