Lets talk first about Innovation Refunds Com Bbb Reviews :
Our group here what do these people doing everybody in this space is assisting teach individuals about ERC and uh always offer a stunning breakfast and have people truly discover the program we must head to the space where we are able to show some of the checks that we are getting for business and I wish to see that what is this this is uh hundreds of millions of dollars actually Kevin hundreds of countless dollars so these are duplicate copies of the letters that go to clients validating that the check is on the method I mean you understand if you just start to look at some of these here I indicate this one’s 8 million this one is 1.1 million 1.7 million 1.4 million I indicate it’s just I indicate think of the number of real clients that went through the program yeah this is the very end this is the celebration at the end when the check is verified the numbers are confirmed and the check is on the mail in the mail from the IRS heading to the consumer so that’s how you have the ability to track it you understand when you
get this you know the check is opted for sure and that’s when they pay so they don’t pay anything until they really get the cash they do not pay bottom line Wonder trust anything till this letter is confirmed the check is on the method they deposit it into their bank account and they can truly trust Wonder trust that the process has been finished and how many you believe you have actually processed considering that you started this we’re about 35 000 of these for
about 6 billion dollars wow so clearly they understand what they’re doing which’s what you require you need experts on the other end of the phone to process this and get it to where you get one of these that’s what matters all right Mr Terrific here you’re at my YouTube channel we’re discussing something actually essential today the employee retention credit which most of you have actually never ever heard of I definitely hadn’t heard of it up until really recently and discovered a lot about it due to the fact that this is most likely the lowest cost of capital for any small business anywhere
anytime if you have workers in between five and five hundred so I have actually got the professional with me this is Josh Fox he’s the founder and CEO of bottom line Ideas they’re the largest processor of these ERC credits this is a 170 page program so it’s challenging this isn’t like PPP we simply phone your bank supervisor and say offer me a loan it does not work there’s not a loan it’s an application and Josh is going to tell us all about it and how to get it and why I have actually ended up being yes the Ambassador and paid representative for this I like this program it’s disappearing very soon you got to discover all about it let’s talk employee retention credit Josh Fox what is an ERC let’s simply begin there so during the Trump Administration when President Trump was enacted they created the cares Act and the cares act offered businesses 3 chances you had the PPP loan you had the eidl loan and you had the ERC tax refund and practically everyone it makes a big distinction right there 2 of them are loans and one’s a refund exactly so the ERC is a refund that’s.
remedy the cash money payroll tax refund alright go on sorry I simply have to make certain we got that point I suggest that’s a huge difference a loan versus money money I like money money that’s what we’re talking about all right and the other loans are done so we’re sitting here in 2023 and the eidl is over the PPP is over and the only one left from the initial cares Act is the ERC and yes Kevin it is a gorgeous difficult check in the mail where you get real cash from the IRS all right so let’s talk about how it works since it seems like to me if it’s a if it’s worker retention credit that individual needed to be a worker so I’m going to make the Presumption this cash is not for the owner not for individuals on the cap table not for shareholders it’s for employees right you had to have owned a business but it’s based upon you having W-2 workers in America not 10.99. so as long as you had W-2 staff members and you paid federal payroll taxes that’s why you would be eligible so you need to be on payroll in 2020 on the W-2 and you have to be on payroll for the first six months of 2021 on the W-2 proper so there were 6 quarters the program was open well walk us through the 6 quarters so you had quarters 2 3 and 4 of 2020 and you had quarters one two and 3 of 2021. all right so that’s how it’s measured you need to be on the W-2 throughout that duration now let’s talk my preferred part money how much can you get back per employee that was on a W-2 in those six quarters so the computation in 2020 to be precise Kevin is 50 of the staff member’s salary to a maximum of 5 thousand dollars per worker for the year of 2020 and in 2021 the numbers escalated to 70 of the employee’s income to an optimum of 7 thousand per quarter how did that take place um they simply altered the rules in.
2021 versus because the turmoil of the pandemic so they wanted to even get more to keep those staff members on payroll 100 so if you can get 5 000 per person Max in twenty that was 50 in 2020 as much as 5 thousand Max and after that what occurs 21 000 Max in 2021 oh that’s how you develop twenty six thousand twenty one thousand to twenty twenty one plus five thousand in twenty twenty that’s twenty 6 thousand dollars per staff member that is because that’s a lot of cash it is now there’s a caution here the PPP money would have to be reduced from the twenty six thousand dollars so if you took PPP loan one and PPP loan 2 you would minimize the 26 000 so what we’re seeing typically Kevin is if you took PPP cash somewhere around 10 thousand dollars a person so let’s say hypothetically you owned a dining establishment in New york city City where I’m from and you had a hundred workers and you took PPP cash you would still get a million dollar in the mail from the internal revenue service so it’s huge undoubtedly now the huge question is why does no one understand about this since look when I initially became aware of this when I initially satisfied Josh you know I’ve got lots of financial investments in great deals of business I’m a major advocate for entrepreneurship in America and make numerous numerous investments in entrepreneurs of which lots of suffered through the pandemic when I first became aware of this I called BS I don’t believe it due to the fact that I use the PPP we went through the cash center Banks to get it it was very easy to do we had our CEOs call the banks they got their loans and that were well deserved and we utilized them wisely to stay alive throughout the pandemic so when I found out about this I said nah it can’t be true but when I dug around I even contacted us to my politician good friends Governor Senators they didn’t learn about it I indicate that’s how you know that’s how false information is that there’s no details out there then a bunch of individuals told me well you can’t get it because you took the PPP likewise not real so let’s ask Josh why does nobody learn about the worker retention credit you understand what’s intriguing you’re discussing the banks Kevin since in the PPP loan process the federal government made it very clear that if you desired a PPP loan you would call Wells Fargo Citibank Bank of America any of the huge banks in our country and they would process process in Canada a pre-pp loan there’s no loans in Canada by the way it’s just process process that’s all um and here there was turmoil due to the fact that remember in the original cares act you might refrain from doing both programs so if you had actually done PPP you might not do ERC in the initial program and when they changed the law in 2021 the banks were refraining from doing ERC since it’s not alone so you’re getting a tax refund so the federal government never made it clear to any person about how to.
do this does your CFO know how to do this not truly she or he’s never done it in the past do the banks do it nope the banks don’t do it the payroll business yeah a few of them are doing it as a payroll business your accountant no your accountant’s never done this prior to unless you have an account that went into this service and bottom line my company Kevin has actually been in business since 2009 and we have actually been working with the federal government and the state government to recuperate money for Fortune 500 Fortune 1000 business so a lot of our big big corporate clients have actually dealt with bottom line to recuperate other federal government programs we have actually done sales tax and utilize tax unemployment tax work opportunity tax credits research and development tax credits unclaimed property real estate tax all of these other federal government programs.
The staff member retention tax credit is a broad based refundable tax credit developed to encourage.
employers to keep employees on their payroll. The credit is 50% of as much as $10,000 in earnings paid by an.
Since of COVID-19 or whose gross receipts, company whose business is completely or partially suspended.
decrease by more than 50%.
1. The credit is offered to all companies despite size consisting of tax exempt companies. There are.
only 2 exceptions: (1) state and city governments and their instrumentalities and (2) small.
services who take Small Business Loans.
2. To certify, the employer has to meet one of two alternative tests. The tests are calculated each.
calendar quarter– Either.
o the company’s organization is completely or partially suspended by federal government order due to COVID-19.
during the calendar quarter or.
o the employer’s gross receipts are listed below 50% of the equivalent quarter in 2019. As soon as the.
company’s gross invoices go above 80% of a similar quarter in 2019 they no longer certify.
after the end of that quarter.
Calculation of the Credit.
The amount of the credit is 50% of the certifying earnings paid up to $10,000 in total.
It is effective for wages paid after March 13th and prior to December 31, 2020.
The definition of qualifying earnings differs by whether an employer had, usually, basically than.
100 employees in 2019.
Business that concentrate on ERC filing support typically supply expertise and support to assist companies navigate the complex procedure of claiming the credit. They can provide different services, including:.
How is the employee retention credit calculated? Innovation Refunds Com Bbb Reviews
Eligibility Assessment: These business will assess your organization’s eligibility for the ERC based upon elements such as your industry, profits, and operations. If you satisfy the requirements for the credit and identify the maximum credit quantity you can claim, they can help determine.
Paperwork and Computation: ERC filing services will help in collecting the necessary paperwork, such as payroll records and monetary statements, to support your claim. They will also help compute the credit quantity based upon qualified earnings and other certifying expenditures.
Retroactive Claim Evaluation: If you are qualified to claim the ERC for previous quarters, these companies can review your past payroll records and financials to determine potential opportunities for retroactive credits. They can assist you modify previous tax returns to claim these refunds.
Filing Support: Business focusing on ERC filings will prepare and submit the needed types and documents in your place. This includes finishing Kind 941 or any other necessary tax return.
Compliance and Updates: ERC policies and assistance have progressed over time. These business remain upgraded with the most recent changes and guarantee that your filings adhere to the most existing guidelines. They can also offer ongoing support if the internal revenue service demands additional information or carries out an audit related to your ERC claim.
It is very important to research study and vet any business using ERC filing assistance to ensure their trustworthiness and proficiency. Try to find established companies with experience in tax and payroll services, or think about connecting to relied on accounting firms or tax specialists who use ERC submitting support.
Remember that while these business can supply valuable help, it’s constantly a good concept to have a standard understanding of the ERC requirements and procedure yourself. This will help you make notified decisions and make sure accurate filings.
The Employee Retention Credit (ERC) is a refundable tax credit presented by the U.S. federal government as part of COVID-19 relief procedures. The objective of the ERC is to encourage businesses to retain and pay their employees throughout the pandemic, even if their operations have actually been affected.
Here are some bottom lines about the ERC:.
Eligibility: The ERC is readily available to eligible employers, including for-profit businesses, tax-exempt organizations, and certain governmental entities. To certify, employers must fulfill one of two criteria:.
The business operations were completely or partially suspended due to a federal government order related to COVID-19.
Business experienced a significant decline in gross invoices. As discussed previously, for 2021, a significant decline is defined as a 20% decline in gross invoices compared to the same quarter in 2019. For 2022 and beyond, a significant decline is defined as a 20% decrease in gross invoices compared to the very same quarter in 2019, or a 20% decrease in gross receipts compared to the immediately preceding quarter.
Credit Amount: The ERC is a refundable tax credit that offsets the employer’s share of Social Security taxes. The credit quantity is equal to a percentage (as much as 70%) of qualified salaries paid to employees, consisting of specific health plan costs. The optimum credit per staff member is $7,000 per quarter in 2021 and $10,000 per quarter in 2022 and beyond.
Interaction with PPP: Initially, organizations that received a Paycheck Defense Program (PPP) loan were not qualified for the ERC. Legislation passed in late 2020 and extended in 2021 permits services to claim the ERC even if they received a PPP loan. The same earnings can not be used to claim both the PPP loan forgiveness and the ERC.
Retroactive Provision: The ERC has been retroactively broadened and boosted, allowing eligible companies to declare the credit for qualified incomes paid as far back as March 13, 2020. This retroactive provision supplies an opportunity for businesses to modify prior-year tax returns and get refunds.
Claiming the Credit: Companies can declare the ERC by reporting it on their work income tax return, generally Kind 941. If the credit surpasses the amount of employment taxes owed, the excess can be refunded to the company.
It is very important to keep in mind that the ERC provisions and eligibility requirements have actually evolved over time. The very best course of action is to speak with a tax professional or visit the official internal revenue service website for the most detailed and up-to-date information regarding the ERC, consisting of any recent legislative modifications or updates.
To receive the ERC, a service must fulfill one of the following requirements:.
Business operations were fully or partly suspended due to a government order related to COVID-19.
The business experienced a substantial decline in gross receipts. For 2021, a significant decrease is defined as a 20% decline in gross invoices compared to the same quarter in 2019. For 2022 and beyond, a substantial decrease is specified as a 20% decline in gross invoices compared to the same quarter in 2019, or a 20% decrease in gross invoices compared to the instantly preceding quarter.
The ERC is available to services of all sizes, consisting of tax-exempt organizations, however there are some exceptions. For example, federal government entities and companies that got a PPP loan might have constraints on claiming the credit.
The process for declaring the ERC includes finishing the necessary kinds and including the credit on your work income tax return (typically Form 941). The exact time it requires to process the credit can differ based upon numerous elements, consisting of the intricacy of your organization and the work of the IRS. It’s recommended to speak with a tax expert for guidance specific to your circumstance.
There are numerous business that can assist with the process of claiming the ERC. These consist of accounting companies, tax advisory services, and payroll service providers. Some popular business that provide assistance with ERC claims consist of ADP, Paychex, Deloitte, and Ernst & Young. It’s a good idea to research and call these business straight to ask about their charges and services.
Please keep in mind that the information supplied here is based on general understanding and might not reflect the most recent updates or modifications to the ERC. It is very important to talk to a tax professional or visit the main internal revenue service website for the most precise and updated info concerning eligibility, claiming treatments, and offered assistance.
Less than 100. The credit is based if the company had 100 or less workers on average in 2019.
on earnings paid to all employees whether they actually worked or not. To put it simply, even if the.
workers worked full-time and made money for full-time work, the employer still gets the credit.
Greater than 100. If the company had more than 100 employees usually in 2019, then the credit is.
allowed only for wages paid to staff members who did not work throughout the calendar quarter.
In both cases, “earnings” consists of not simply cash payments but also a portion of the expense of employer.
supplied healthcare. Innovation Refunds Com Bbb Reviews
Companies can be immediately reimbursed for the credit by minimizing the quantity of payroll taxes they.