When America Needed Us Most.
Sad but true.
At the very time the world seemed to be falling apart our communities needed to come together to:
On the Table
ready to get the show on the road again.
Some of us were fortunate enough to retain employees.
Likely because it was the right thing to do for:
✔our employees, their families and communities
✔our businesses and our ability to ramp up operations
instead of restarting from a dead stop.
Whatever your reason was to retain employees
during uncertain times,
you are to be commended.
Don't take our word for it...
Your community thinks so,
your employees and their families
certainly think so
and the federal government
definitely thinks so!
✔$953 billion (PPP) Paycheck Protection Program
✔$400 billion (ERC) Employee Retention Credit
ready to get the show on the road again.
Some of us were fortunate enough to retain employees.
Likely because it was the right thing to do for:
✔our employees, their families and communities
✔our businesses and our ability to ramp up operations
instead of restarting from a dead stop.
Whatever your reason was to retain employees
during uncertain times,
you are to be commended.
Don't take our word for it...
Your community thinks so,
your employees and their families
certainly think so
and the federal government
definitely thinks so!
✔$953 billion (PPP) Paycheck Protection Program
✔$400 billion (ERC) Employee Retention Credit
WHAT
WHO
WHY
HOW
The credit remains at 70% of eligible wages, with a quarterly cap of $10,000, or a maximum of $7,000 per employee. After the Infrastructure Investment and Jobs Act was passed, the program's termination date for the majority of firms was amended, and an employer may now claim $7,000 per quarter per employee through the first three quarters of 2021. Recovery Startup Businesses (RSBs) were, nevertheless, still eligible as of the end of 2021. They might be qualified to obtain a credit for the third and fourth quarters of 2021 that is worth up to $50,000.
Creative Development
Cooperative
Communications
AND... It costs you nothing to have this free phone consultation. "Consultation with who exactly?" Great question... How about...
This is an established 15 year old company which has come through for more than 15,000 businesses...
big & small, all states & territories, white collar & blue collar and everything in between.
Said another way...
Businesses just like yours.
To get your FREE no-obligation discovery call booked at the time most convenient for you,
To find out more about the firm that could potentially get you tens of thousands of dollars of money you have already paid to the IRS
"Time is money so I can't squeeze this discovery call into my jam-packed schedule."
Heartfelt, respectful rebuttal:
Yes, time is money. Everyone in business needs to understand this concept.
Please consider the following...
Are you billing your time at $140,000/hour?
If that is the case... First, Congratulations!
Second, it might be prudent to delegate this discovery call to a trusted staff member on your behalf. Either way, this IS worth someone's time.
That hourly rate is sensational and unbelievable!
Not really...
If you only have five W2 employees that is the hourly rate this 15 minute call could be worth to your business when the IRS deposits your money back in your bank account.
and YES...
more employees makes this discovery call more "URGENT" for you because time IS money.
and the time is now.
WHY DO WE HELP?
We are committed to helping businesses in the live events industry navigate the complexities of the Employee Retention Credit (ERC) program. We understand that the pandemic has had a significant impact on the live events industry and we are here to assist eligible employers in claiming the ERC to help retain their employees during these challenging times.
The live event industry in the US is a major contributor to the economy, the decline of this industry has led to a decline in jobs, loss of revenue for local government, loss of revenue for small businesses, and overall decline in consumer spending. In addition, there are also indirect effects such as decline in tourism, decline in hotel occupancy, decline in transportation and decline in other related services.
The industry is expected to recover gradually, but it might take years for it to reach pre-pandemic levels. Many venues and promoters are adopting virtual and hybrid models to continue operations. One of the ways we can help is by encouraging everyone to take advantage of the Employee Retention Credit (ERC) program.
Our team is well-versed in the requirements and regulations of the ERC program and will work closely with you to ensure that your business is able to take full advantage of the benefits offered. Let us help you keep your employees and your business going during these uncertain times.
more than 15,000 times. Here is the simple process:
We call you to make sure we don't miss anything.
Darcel Ballentine
Barone LLC.
Darcel Ballentine
Barone LLC.
How Do the Credits Work?
The employee retention tax credit's nonrefundable components must now be claimed against Medicare taxes rather than Social Security taxes as they were in 2020, according to the American Rescue Plan Act. The total credit amount will not change as a result of this modification because it only applies to salaries paid after June 30, 2021.If the credit, whether before June 30, 2021, or later, exceeds the employer's entire liability for the share of Social Security or Medicare in any calendar quarter, the excess is reimbursed to the employer.On the employer's Form 941, the amounts of these credits will be reconciled at the conclusion of the quarter.
How Does a Business Claim the Employee Retention Tax Credit Retroactively?
Guidance for firms claiming the Employee Retention Tax Credit is provided by IRS Notice 2021-20. The notification, however, only outlines the credit's requirements as they relate to qualifying earnings given between March 12, 2020, and September 30, 2021. The majority of the notice also restates the ERTC FAQs that were previously posted on the IRS website.
Advice on how employers who obtained a PPP loan might retrospectively claim the employee retention tax credit is provided in the notice. Employers must submit Form 941-X, Adjusted Employer's Quarterly Federal Tax Return or Claim for Refund,
for the pertinent quarter(s) in which the qualified wages were paid in order to be eligible for the credit for prior quarters. The IRS uses three examples to illustrate the procedure (Q&A No. 57).
Seven examples (Q&A No. 49) with scenarios are provided in the IRS notice 2021-20 to show how an employer with a PPP loan determines whose wages, if any, are qualified for the tax credit. How the qualified wages were reported on the PPP loan forgiveness application has a significant impact on the quantity of wages that are eligible. In rare circumstances when greater expenses than necessary were incurred to support the loan forgiveness, qualified earnings included in reported payroll costs on the forgiveness application may be used. In some situations, the IRS will consider the cost of the minimum wage when other eligible expenses are added to it to support loan forgiveness.
The IRS makes it clear that PPP-eligible costs that were overlooked when applying for loan forgiveness cannot be taken into account afterwards.
In order to maximize the acceptable wages available for ERC, it is crucial to ensure that all eligible expenses, including non-payroll costs like utilities, rent, and operational expenses, to name a few, are included on PPP debt forgiveness forms.
What Employers Qualify for the Employee Retention Credit?
After the American Rescue Plan Act was passed, the majority of businesses, including colleges, universities, hospitals, and 501(c) organizations, might be eligible for the credit. Prior to this, the Consolidated Appropriations Act broadened the eligibility requirements to cover companies that obtained a loan under the Paycheck Protection Program (PPP), including borrowers from the PPP's inaugural round who were at first ineligible to apply for the tax credit.
For qualified employers, eligibility is based on one of two factors, and one of these factors must be true during the calendar quarter in which the company wants to use the credit:
1. A trade or business that has to cut back on hours due to a government mandate, either completely or partially.
Only the portion of the quarter during which business is interrupted is eligible for the credit.
2. An employer whose gross receipts have significantly decreased.
3. Recovery Startup Business who have started a business or trade after February 15, 2020, generating yearly gross revenues of no more than $1 million and does not qualify for the ERC under either of the other two criteria, which are a partial or complete suspension of operations or a fall in gross receipts.
What wages qualify when calculating the retention credit?
The employee retention tax credit may be applied to eligible health expenses as well as general wages and pay that are subject to FICA taxes.
These must have been paid after March 12, 2020, and payments made through September 30, 2021 are acceptable for the credit (Recovery Startup Businesses had until Dec. 31, 2021).
Remember that only salaries that are not forgiven or not anticipated to be forgiven under PPP are eligible for the credit.
The IRS offers a number of methods for calculating eligible medical expenses depending on the situation. They typically only include the pretax amounts paid by the company and the employee.
An employer must first figure out how many full-time employees there are before establishing the eligible pay that can be included.
For the purposes of the employee retention credit, a full-time employee is one who worked at least 130 hours
(the monthly equivalent of 30 hours per week) in any calendar month in 2019. This definition is based on the ACA's employer shared responsibility clause.
The full-time equivalent (FTE) employed by an employee for the PPP forgiveness report is calculated differently from a full-time employee for the employee retention credit. Do not disclose the PPP Forgiveness FTE information to your clients if you are a member of the accounting profession. Also keep in mind that clients who have taken PPP loans and will have them forgiven may now qualify for the employee retention credit on certain pay.
CARES Act - 2020
Only the eligible earnings of employees who are not delivering services due of a suspension or fall in business may be used by those who employ more than 100 full-time workers.
For the larger businesses, any wages received for vacation, sick leave, or other days off in accordance with the employer's
present policy cannot be included in eligible pay. In essence, businesses can only claim this credit for idle workers.
Employers with 100 or fewer full-time workers are permitted to deduct all employee wages, including those earned while an employee
is working and while they are not, with the exception of any paid time off granted under the Families First Coronavirus Response Act.
Paid sick leave and family leave were among the types of leave covered by the FFCRA, and when used in accordance with the act's guidelines, they gave businesses the chance to file a tax credit claim.
Consolidated Appropriations Act – 2021
This law increased the employee limit to 500 for determining which wages are applicable for the credit.
American Rescue Plan Act – 2021
This statute gave some of the hardest-hit companies—severely insolvent employers—the ability to deduct the credit from all qualified earnings
paid to employees rather than simply those who are not performing services. Employers whose gross receipts for the quarter were less than 10% of what they were for a comparable quarter in 2019 or 2020 are considered to be the severely afflicted enterprises.
For enterprises that aren't Recovery Startup Businesses, this only applies to the third quarter of 2021. When an employer becomes qualified for the employee retention tax credit,
there are safeguards in place by the IRS to prevent salary increases from counting toward the benefit.