FAQ
Not Always True. Many of the major payroll companies we work with are doing everything they can to help clients recover from the pandemic. They provide some basic screening questions for eligibility, but the client usually has to sign an affidavit that they did all of the substantiation required and are eligible for the credit. The vast majority of payroll companies do not have the staff to do this calculation.
Depends. This tax credit does not fall into the normal purview of our client’s accounting firms or CPAs. They normally prepare your Federal and State Income Tax Returns and do not spend the time on complex credits unless asked and in most cases, outsource that to specialty tax firms or charge on an hourly basis to do the calculation even if there is no credit.
Yes. PPP Loan – The CARES Act initially did not allow businesses that received Paycheck Protection Program (PPP) loans to also claim the ERC, but the Consolidated Appropriations Act, 2021, P.L. 116-260, which was enacted at the end of 2020, retroactively removed the limitation so employers that had applied for or received PPP loans could still get the ERC.
Yes. The key objective test is whether your business had the required decrease in quarterly gross receipts from the benchmark quarter. There is no alternative causation if this decrease in gross receipts has been met REGARDLESS OF THE REASON FOR THE DECREASE.
Yes. The CARES Act does not make an “essential” versus “non-essential” employer distinction regarding ERC qualification.
Yes, you can still file for your credit until the amendment period has expired.
Class members may also fill out a pre-registration form here. You do not have to pre-register but doing so may be helpful, and does not impact your rights in this case. If you previously pre-registered on this website, you are encouraged to check your status by calling 1-800-625-6440 to update any information.
