You really learn how to do something by doing it. Right? Well with taxes you don't really know how to do something until you have done it and the IRS has responded. With the Employee Retention Tax Credit I prepared the amended payroll returns for my first client last year and now I have heard back from the IRS. My client will soon be receiving most of his few hundred thousand dollars of credits any day now. However, there was one amended return that they rejected and I will resubmit it and get that small portion of the credit for my client too.
The Employee Retention Tax Credit is fairly new and no one had real experience applying for it. People are advertising their services for obtaining this credit but when you do something for the first time you are almost flying blind. Now I have heard from the IRS and I know how all of it should be done. It is really complicated to execute and there are a lot of moving pieces.
One of those pieces is the income tax impact of the credit, which I addressed in my previous post. There are significant income tax implications from receiving the credit. Many in the tax profession fear that businesses will get these credits and not tell their CPA and then the IRS will come calling. It is frightening because many offering there services to help businesses obtain the credit are not CPAs and the fear is they won't fully grasp everything involved with the credit including the income tax piece. Additionally many will have their returns rejected by the IRS due to procedural problems in the execution.
This credit can be a substantial game changer for a business. Restaurants especially need the help this credit can provide. If you would like help in obtaining the credit why not ask someone who both has done it and also understands the income tax piece. For my assistance to help you claim the Employee Retention Tax Credit use my email address below to contact me to arrange an initial consultation.
How Did I Get Into This?
My first client asked me about the ERC insisted I help him because he thought it could mean a lot of money for him and his business and he was right. But at first they did not qualify because they had taken out a PPP loan. But then the legislation changed and the client qualified even though they had PPP loans. I still did not want to do it because I don't do payroll and the ERC is really complicated. His payroll person did not want to do it either so he continued to pester me about it until I relented but I told him he would pay me handsomely. It was complicated but after taking some classes, reading the legislation, and figuring out how to file the amended payroll tax returns by reading the instructions I figured it out. He now has his money, over a quarter of a million dollars, plus interest and he has told others about it. Not surprisingly most CPAs don't want to touch this. I did not want to either, because it is enough just to keep up with the income tax code and the changes recently have been significant. Additionally, the work life balance for CPAs that prepare income tax returns seems to have been changed permanently and not for the better.
Of course this, The Employee Retention Credit, is a government credit for which the requirements and related issues are continuing to evolve. I keep with up changes and stay in the loop with other professionals involved in this area of expertise to make sure I can provide top quality service to my clients.
Now that I have done the legwork to become competent in applying for the ERC I can help you to apply for the credits. I will also work with your CPA to help them understand the issues mentioned above and let them benefit from my experience with these issues.
If you are a CPA with clients that may qualify but you don't want to mess with the ERC then you should use my contact information below to setup an appointment. I am not taking on anymore income tax clients now that I have gotten busy with the ERC. The only work I will take on is work doing the Employee Retention Credit.
This credit can be a substantial game changer for businesses. Restaurants especially need the help this credit can provide. If you would like help in obtaining the credit why not ask someone who both has done it and also understands these various issues. For my assistance to help you claim the Employee Retention Tax Credit use my email address below to contact me and make an appointment to discuss your situation.
The Employee Retention Credit - Can Your Business Benefit From It?
Be careful when reading about tax law and its application, including my articles, because the wording and definitions are such a challenge and are influenced by writers perspective, specifically his own clients situations that he is mindful of and other situations the writer is not thinking of. The point is talk to your CPA about your situation and circumstances and don't rely on or make conclusions based on articles you read, including articles form irs.gov, because concepts and definitions are not very clear, and of course, they are subject to change. Now is the time to be having discussions about your situation and developing strategies for you and your business. Again, contact me using my information above to discuss your situation. I help business owners all over the U.S. and in foreign countries with their tax returns
