Employee Retention Tax Credits: Five Recent Developments and Reminders
Thought Leadership by Ian Williams, Principal | KBKG The Employee Retention Tax Credit (ERC or ERTC) continues to be a top issue for the IRS and Congress, as more than one million ERC claims remain unprocessed. Below are 5 important items for taxpayers and tax professionals to consider after recent IRS updates: 1. IRS Notices … Read More
KBKG Tax Insight: IRS Issues ERC Disallowance Letters and Changes ERC Moratorium Date
Thought Leadership by Ian Williams, Principal | KBKG As mentioned in KBKG’s last blog post, the IRS provided an update in June surrounding the Employee Retention Credit (ERC), noting that it was planning to disallow high-risk claims and begin catching up on processing low-risk claims this summer. While the IRS did not provide clarity on … Read More
IRS ERC Update: ERC Processing Resumes, Moratorium on Certain Claims Still in Effect
Thought Leadership by Ian Williams, Principal | KBKG On June 19, the IRS issued a much-needed update on the status of ERC processing. KBKG has summarized the key points from their news release below. Post-Moratorium Claims: The moratorium on the processing of claims filed after 9/14/23 is still in effect. A specific resumption date has … Read More
ERC Tax Season Reminders and Updates
ERC Tax Season Reminders and Updates Thought Leadership by Ian Williams, Principal | KBKG As we near tax filing deadlines we are also approaching the first Employee Retention Tax Credit (ERC or ERTC) filing deadline (4/15/2024 for any 2020 ERC claims, 4/15/2025 for any 2021 ERC claims). Many taxpayers are still awaiting the processing of … Read More
KBKG Tax Alert: Proposed Bill Fixes 174 Capitalization and Cuts Off New ERC Claims
KBKG Tax Alert: House passes proposed bill to Fix 174 Capitalization, Extend 100% bonus depreciation, and Cut Off New ERC Claims, now in Senate consideration. Proposal Aims to Boost Businesses with Immediate Deductions for Domestic Research and Experimental (R&E) Expenditures and Capital Investments on qualified property while reining in the Employee Retention Credit (ERC). The … Read More
Understanding the IRS’ ERC Voluntary Disclosure Program
Understanding the IRS’ ERC Voluntary Disclosure Program Thought Leadership by KBKG The IRS’ introduction of the Employee Retention Credit Voluntary Disclosure Program (ERC-VDP) is a significant development that offers businesses, tax-exempt organizations, and government entities a chance to rectify any ineligible claims for the Employee Retention Credit (ERC). We summarize the key points from the IRS announcement … Read More
Interpreting Communications from the Occupational Safety and Health Administration (OSHA) for ERC Eligibility
Interpreting Communications from the Occupational Safety and Health Administration (OSHA) for ERC Eligibility Thought Leadership by KBKG WARNING IRS issues further guidance that reliance of OSHA guidelines does not meet standards of government orders for ERC. If you or your ERC provider used OSHA guidelines as a reason for a government shutdown your credits are … Read More
Withdrawal of ERC Claims: A Comprehensive Guide for CPAs
Withdrawal of ERC Claims: A Comprehensive Guide for CPAs Thought Leadership by Ian Williams, Director | KBKG In IRS notice, IR-2023-193, released this week, the IRS has taken a significant step to protect small businesses and organizations from potential scams related to the Employee Retention Tax Credit (ERC) by introducing a novel withdrawal process. This process is designed … Read More
New Questions People Are Asking About ERC
New Questions People Are Asking About ERC Thought Leadership by KBKG Originally published 5/1/2023, updated 10/10/2023 On September 14th, 2023, the IRS took the significant step of suspending the acceptance of new ERC claims until at least December 31st, 2023. This was in response to mounting concerns about the integrity of the Employee Retention Credit … Read More
KBKG’s ERC Guidance for CPAs and Tax Professionals
KBKG’s ERC Guidance for CPAs and Tax Professionals Thought Leadership by KBKG Regarding the latest IRS rules and regulations on the Employee Retention Tax Credit program, it’s paramount for Certified Public Accountants (CPAs) and Tax Professionals to stay ahead of the curve. The Internal Revenue Service (IRS) recently introduced a moratorium on processing Employee Retention … Read More
Advice for Taxpayers About the ERC Moratorium
Advice for Taxpayers About the ERC Moratorium Thought Leadership by Ian Williams, Director | KBKG The Employee Retention Tax Credit (ERC) is a complex tax credit created by the Coronavirus Aid, Relief, and Economic Security (CARES) Act in 2020 to help businesses keep their employees on the payroll during the COVID-19 pandemic. The ERC is … Read More
Navigating The New Phase of ERC
Navigating the New Phase of Employee Retention Credits (ERC) By Ian Williams, Director | Employee Retention Tax Credits KBKG As Certified Public Accountants (CPAs), staying current with tax regulations is a top priority. In recent times, the Employee Retention Credit (ERC) program has undergone significant changes. The Internal Revenue Service (IRS) Commissioner’s latest signals have … Read More
IRS Pauses New Claims for Employee Retention Credit Program
IRS Pauses New Claims for Employee Retention Credit Program Thought Leadership from KBKG, Sep 15, 2023 In response to mounting concerns about the integrity of the Employee Retention Credit (ERC) program, the Internal Revenue Service (IRS) has taken the significant step of suspending the acceptance of new ERC claims until at least December 31, 2023. … Read More
Supply Chain Disruption – How to Get Compliant for the ERC
Supply Chain Disruption – How to Get Compliant for the ERC Thought Leadership on Employee Retention Credit by Ian Williams, DIRECTOR | KBKG In response to widespread abuse and negligence in the due diligence process related to employee retention credit eligibility (ERC or ERTC) via supply chain disruption, IRS Chief Counsel issued a generic legal advice … Read More
ERC Eligibility for Supply Chain Disruption
ERTC Eligibility for Supply Chain Disruption By Ian Williams, Director, Research & Development Tax Credits and Employee Retention Credits | KBKG The IRS Chief Counsel recently published a Generic Legal Advice Memorandum (GLAM), providing guidance on the eligibility criteria for the Employee Retention Credit (ERC or ERTC) in cases where employers claimed government shutdown qualification via shutdowns of … Read More
The Dangers of Inaccurate Filing Deadlines for the ERC
The Dangers of Inaccurate Filing Deadlines for the ERC Thought Leadership by KBKG Beware of Dubious Tax Advisors Tax season can be stressful for individuals and businesses alike, as the intricacies of tax laws and regulations can often be overwhelming. Unfortunately, unscrupulous tax advisors take advantage of this confusion, employing dubious tactics to market inaccurate … Read More
A Guide to Filing Form 941-X for Employee Retention Credits
A Guide to Filing Form 941-X for Employee Retention Credits Thought Leadership by KBKG If you believe your company is eligible to receive the Employee Retention Credit, the good news is that qualifying companies have until April 15, 2024 for the 2020 credit and April 15, 2025 for the 2021 credit, to file. However, to … Read More
How KBKG Helps CPAs With the Employee Retention Credit
How KBKG Helps CPAs With the Employee Retention Credit Thought Leadership by KBKG Two years after the CARES Act established the Employee Retention Credit, CPAs are still handling ERC (or ERTC) tax credit claims. With this credit’s many complex details, a meticulous approach to ERC filings is essential. KBKG offers industry-leading knowledge and services on … Read More
Top 5 Questions Your Clients Will Ask About the ERC
Top 5 Questions Your Clients Will Ask About the ERC Thought Leadership by KBKG Many clients may inquire about the employee retention tax credit this season. Naturally, you want to prepare accurate returns while strategically reducing tax liabilities and avoiding audits. The Internal Revenue Service issued a severe warning in March of 2023 about improperly claiming the … Read More
Struggling With ERC Claims? Why Partnering With KBKG Is Your Best Solution
Struggling With ERC Claims? Why Partnering With KBKG Is Your Best Solution Thought Leadership by KBKG If you belong to the majority of Certified Public Accountants, you are likely to encounter both past and present tax returns during the tax season. It is not uncommon for you to be required to file claims for the … Read More
Everything To Know About ERC Processing Times
Everything To Know About ERC Processing Times Thought Leadership by KBKG Navigating the process of using the employee retention credit can be tricky, even once you’ve reached the stage of waiting for a refund. If you’ve been waiting for yours, you may be wondering “How do I check the status of my ERC refund?” Let’s … Read More
Top 5 Questions To Ask a CPA About ERC
Top 5 Questions To Ask a CPA About ERC Thought Leadership by KBKG How does the employee retention credit work? This is a refundable tax credit for eligible businesses that continued to pay their employees in spite of being shut down or while they experienced a significant decline in gross sales during the COVID-19 pandemic. … Read More
Where is My Employee Retention Credit Refund?
Where is My Employee Retention Credit Refund? By Ian Williams, Director, Research & Development Tax Credits and Employee Retention Credits | KBKG The Employee Retention Tax Credit (ERTC or ERC) was introduced by the US government as a response to the economic impact of the COVID-19 pandemic. The ERC is a refundable tax credit that was … Read More
Top 5 Things To Look Out for With the ERC
Top 5 Things To Look Out for With the ERC Thought Leadership by KBKG, 4/19/2023 Over two years after the CARES Act introduced the Employee Retention Credit, eligible businesses and nonprofits can still claim it on their tax returns. You may want to claim the ERC tax credit but do not know the applicable guidelines. … Read More
How KBKG Helps Small Businesses With the ERC
How KBKG Helps Small Businesses With the ERC Thought Leadership by KBKG, 4/19/2023 Everything about business taxes is complex. Mistakes can become costly, especially with detailed filings such as the Employee Retention Credit. As a business owner, you must focus on strategic planning and operations. With extensive experience and robust solutions, KBKG helps small companies … Read More
Frequently Asked Questions About Employee Retention Credits
Frequently asked questions about Employee Retention Credits A comprehensive guide that answers frequently asked questions about the ERC program, including eligibility, requirements, and limitations. Thought Leadership by KBKG Table of Contents: What is the Employee Retention Credit (ERC)? Who is eligible for the Employee Retention Credit? What are qualified wages for the ERC? Can I … Read More
Accounting Today: Risks Associated With the ERC
Accounting Today: Risks Associated With the ERC As published in Accounting Today | by Jason C. Melillo, 4/18/2023 This excerpt is from “Risks Associated With the ERC.” Read the full article now in Accounting Today. […] We have seen many questionable claims by ERC mills, one for example saying, “All businesses impacted by supply … Read More
Your Guide to the ERC Tax Credit for Small Businesses
Your Guide to the ERC Tax Credit for Small Businesses Thought Leadership by KBKG During the tumultuous years of the pandemic, many companies had to make tough choices, including whether or not to keep all of their staff members. To protect jobs, the federal government created incentives, including the ERC (or ERTC) tax credit, to … Read More
3 Reasons To Work With a CPA
3 Reasons To Work With a CPA Thought Leadership by KBKG The Employee Retention Credit has benefited many businesses in the last few years. However, the ERC (or ERTC) tax credit has also been a boon for scam artists. The rules for claiming the credit are detailed and complex, leaving room for confusion and ambiguity … Read More
What is the Employee Retention Tax Credit and Why KBKG
What is the Employee Retention Tax Credit? Why KBKG is the Trusted Partner Your Business Needs Thought Leadership by KBKG The Cares Act Employee Retention Tax Credit has provided relief for many businesses impacted financially by COVID-19, but implementation has been a challenge. There has been an influx of fraudulent ERC “mills” that market themselves … Read More
KBKG Tax Insight: IRS warns Taxpayers of Improper Employee Retention Credit Claims and ERC Mills
Important Update as of Tuesday, March 7, 2023: The IRS issues renewed warning on Employee Retention Credit claims; false claims generate compliance risk for people and businesses claiming credit improperly. The IRS recently published IR-2022-183, warning employers to be wary of third parties who are advising them to claim the Employee Retention Credit (ERC) when … Read More
This Month’s Webinars
Looking for CPE credit? We have several sessions available this month. Click the links below to register. If you have questions or need help registering, please email [email protected]. Research & Development Tax Credits 11/1/2022 | 12:00 PM PT | 1 hour | 1 CPE credit This webinar will cover the fundamentals of the Research and … Read More
KBKG Tax Insight: IRS To Target Abusive ERTC Claims. Analysis of Government Shutdown & Supply Chain Rules
Important Update as of Tuesday, March 7, 2023: The IRS issues renewed warning on Employee Retention Credit claims; false claims generate compliance risk for people and businesses claiming credit improperly. As Featured in Accounting Today One of the biggest issues being discussed by the IRS, Congress, and the AICPA are the millions of businesses that … Read More
KBKG to Exhibit, Sponsor, and Speak at the TXCPA Free CPE Expo
Our Director of R&D Tax Credits and ERTC, Bill Taylor is speaking at the TXCPA Free Expo on June 23rd. Along with him, our Regional Director, Matthew Geltz, is representing KBKG at the exhibit hall. The TXCPA Free CPE Expo is taking place on June 23rd at the UT Commons Conference Center in Texas. About … Read More
KBKG to Exhibit and Sponsor at PrimeGlobal Partner Leadership Summit
Our CEO, Gian Pazzia is attending the PrimeGlobal Partner Leadership Summit as a delegate. Along with him, our National Director of Business Development, Gina Lim, is sponsoring the event on behalf of KBKG. The conference is taking place from June 20th to June 22nd at the Fairmont Royal York in Toronto, Canada. About PrimeGlobal Partner … Read More
KBKG to Exhibit and Sponsor at AIA Architecture Conference
This year Todd French, Lon O’Connor, Robert VanDeVeire, Brandon Val Verde, and Kyle Ernsberger will be representing KBKG at the AIA Architecture Conference. The conference takes place from June 22nd to June 25th in Chicago, Illinois. About the AIA Architecture Conference The AIA Architecture Conference is the architecture and design event of the year. With … Read More
KBKG to Speak and Exhibit at Tax Alliance Conference
Our Regional Director, Bill Taylor is speaking about Employee Retention Tax Credits & Impact on Research and Development Tax Credits, CCM, and TX Law Changes at the Tax Alliance Conference on June 7th. Joining him is our Regional Director, Matthew Geltz, and he is representing KBKG at the exhibition hall. The Tax Alliance Conference is … Read More
KBKG to Speak at TXCPA Dallas Convergence 2022
Alex Martin, Transfer Pricing Principal, will be speaking at TXCPA Dallas Convergence on Monday, May 16th. He’ll be joined by Bill Taylor, William Long, Matthew Geltz, Mike Cornell, and Emily Kennedy from our Dallas Fort-Worth office. This event is taking place at the Omni Frisco Hotel in Frisco, Texas. About the TXCPA Dallas Convergence TXCPA … Read More
It’s Not Too Late to Claim Employee Retention Tax Credits
By now, most companies have heard of or even claimed Employee Retention Tax Credits (ERTC) or a PPP Loan. Those that have taken advantage of the credit have seen hundreds of thousands to millions of dollars in benefits for retaining employees in 2020 and 2021. For example, one professional services firm with 19 eligible employees … Read More
Updated: 2020 vs. 2021 Employee Retention Credit Comparison Chart
Jason Melillo is a Principal and Local and Wage Based Incentive practice leader at KBKG. His areas of expertise are Local Incentives, Employment Tax Credits which includes Employee Retention Tax Credit, and other employment credits. Old Law New Law Eligible Employers 2020 2021 Eligible employers can receive a refundable payroll tax credit of 50% of … Read More
KBKG Tax Insight: ERTC Terminated for Q4 2021
The Infrastructure Bill (H.R. 3684) was passed by the House on November 5, 2021, and is expected to be signed into law by President Biden. As part of the Bill, the employee retention credit (with the exception of the recovery startup business credit) is no longer in effect for the fourth quarter of 2021. A … Read More
KBKG Tax Insight: Medical Providers Can Claim ERTC
Medical providers that perform elective procedures could have an opportunity to claim the Employee Retention Tax Credit (ERTC). While most medical offices had to make a variety of operational changes to adapt to a safe environment during COVID, many of those operational changes do not meet the definition of a government shutdown for ERTC. However, … Read More
California Main Street Small Business Credit II
In Late September 2021 Governor Newsom signed Assembly Bill (AB) 150 establishing the Main Street Small Business Tax Credit II. This bill provides financial relief to qualified small businesses for the economic disruptions in 2020 and 2021, resulting in unprecedented job losses. Taxpayers that qualified for Employee Retention Credit may also qualify for the Main … Read More
PPP Forgiveness and the Interplay with the ERTC
Many PPP borrowers have made the mistake of using 100% of their payroll to satisfy PPP forgiveness. Borrowers that also qualify for the Employee Retention Tax Credit should maximize the use of other qualified expenses to satisfy forgiveness related to their PPP Loan to allow the additional payroll to be utilized to maximize the benefits … Read More
Three Tax Saving Strategies for Architecture & Engineering Firms
Architecture and engineering firms that are not claiming R&D Tax Credits, Employee Retention Tax Credits, or 179D are potentially leaving millions of dollars in tax benefits on the table each year. What are these benefits, and what cash flow is being overlooked? R&D Tax Credit Architecture and engineering firms may want to take another look … Read More
![[Video] What is the Employee Retention Credit and What Are the Qualifications?](https://www.kbkg.com/wp-content/uploads/What-is-the-Employee-Retention-Credit-and-What-Are-the-Qualifications.jpg "[Video] What is the Employee Retention Credit and What Are the Qualifications?")
[Video] What is the Employee Retention Credit and What Are the Qualifications?
The ERTC was created as part of the CARES Act to encourage businesses to continue paying employees by providing a credit to the eligible employer for wages paid to eligible employees. Our Director, Ian Williams, explains the credit and qualifications. See If You Qualify • Try our benefit estimate calculator » • Join us for … Read More
What You Need to Know About Employee Retention Credits and Government Shutdown Orders
As featured in Accounting Today The Employee Retention Tax Credit has been a welcome lifeline to many struggling businesses and those most significantly impacted by the economic uncertainty around the COVID-19 pandemic. The ERTC, similar to the PPP loan, has helped support small businesses through a refundable credit associated with employee retention. The original ERTC … Read More
![[Video] Top 5 Things You Should Know about the Employee Retention Tax Credit – Now Up to $33k per Employee](https://www.kbkg.com/wp-content/uploads/Top-5-Things-You-Should-Know-about-the-Employee-Retention-Tax-Credit-–-Now-Up-to-33k-per-Employee.jpg "[Video] Top 5 Things You Should Know about the Employee Retention Tax Credit – Now Up to $33k per Employee")
[Video] Top 5 Things You Should Know about the Employee Retention Tax Credit – Now Up to $33k per Employee
The ERTC was originally established under the CARES Act t encourage businesses to keep employees on payroll during the pandemic. Employers can now retroactively apply for credits in 2020, even if they have received a PPP loan from the Small Business Administration. Employers can receive a CREDIT ADVANCE from the US Treasury. ERTC was extended … Read More
Are you missing out on the Employee Retention Tax Credit (ERTC)?
If you have not looked into Employee Retention Tax Credits, then you need to reach out to your regional director or contact us right away to see if you qualify. It is worth a quick assessment. We can help you claim the credit and receive cash refunds up to $5,000 per employee in 2020 and … Read More
KBKG Tax Insight: The American Rescue Plan Extends Employee Retention Tax Credits
We released an update on November 8, 2021. Please see this KBKG Tax Insight for the latest. On Thursday, March 11th, President Biden signed the American Rescue Plan Act (ARPA) into law. The historic $1.9 Trillion stimulus package expands COVID-19 relief for individuals, families, local governments, and businesses. Specifically, the plan includes updates to the … Read More
FAQs – Employee Retention Credit (ERC)
The Employee Retention Credit (ERC or ERTC) was created as part of the CARES Act to encourage businesses to continue paying employees by providing a credit to the eligible employer for wages paid to eligible employees. The ERC could be a valuable alternative for those who did not qualify for PPP and other emergency loans. … Read More
The House Votes to Extend Employee Retention Tax Credit through December 2021
We got some great news this morning. The House has voted 219-212 to extend the Employee Retention Tax Credit through December 31, 2021, as part of the $1.9 Trillion COVID Relief bill. If it passes the Senate next week it will very likely be signed by the President shortly after. The Employee Retention Tax Credit … Read More