Additional Government Funding is Still Available Outside of the Payroll Protection Program

The latest stimulus bill includes another opportunity for government funding— the Employee Retention Tax Credit from the Internal Revenue Service.

Here’s how to get started.

What is it and why is the IRS offering it?

• The Employee Retention Credit (ERC) is a tax credit offered from the IRS to small businesses to help weather the Covid-19 pandemic. Think of the ERC as a stimulus for your business. This is not a loan, so it does not need to be paid back.

How much is it and what can I do with an ERC?

• Businesses who claim the ERC can claim up to $5,000 of guaranteed funds per employee for 2020, and $7,000 for 2021.

• The funds can be spent on any business need, and there is no forgiveness form.

Am I eligible? The Employee Retention Credit is available to:

• Those who have been negatively impacted by Covid-19 through a “full or partial closure”

• Businesses who experienced a 50% decrease in gross receipts over any given quarter in 2020, or a 20% decrease in gross receipts in Q1 or Q2 of 2021

What’s the timing?

• The ERC expires JULY 31st, and funds can take four months or longer to arrive, so we suggest applying as soon as possible.

How do I get an ERC? We have partnered with COS Accounting to provide the ERC to anyone who is interested in claiming these funds. Simply click on the link below, fill out their qualifier form, and an accountant from their team will contact you to walk you through the rest. Learn more and apply today at cosaccounting.com/ erc-tax-credit/.