Brand Name
  • COVID-19

    Tax Relief for Coronavirus affected businesses

    RetroTax is here to ensure that your business has all the tools available to weather these uncertain times. Have your hiring habits changed because of the current pandemic conditions? There are new and existing tax credit and incentive programs available to businesses to keep your tax burden down.

    • Existing Tax Relief Programs

      Are you currently on a hiring freeze due to COVID-19? Allow RetroTax to review your worksite locations for the opportunity to earn $3000 per employee, per year in tax credits through the Federal Empowerment Zone Program. This program allows for a refund on taxes already paid.

      Has your business experienced an increase in hiring to keep up with the demands of COVID-19? With millions of Americans out of work, more new hires than ever will be eligible for the Work Opportunity Tax Credit (WOTC).This program rewards employers with significant tax reductions when they hire people experiencing economic distress. As your company hires or begins to hire again, employ RetroTax and be prepared to screen every new employee for WOTC.

      Learn more about the CARES Act provisions

  • Contact RetroTax about Covid-19 Tax Relief

    We look forward to speaking with you soon!

CARES Act Economic Relief Programs

For business owners seeking relief from the current economic conditions, there are new programs available to help offset the impact of the slowdown. The Employee Retention Tax Credit is available for affected employers who were ineligible or did not apply for the Payroll Protection Program (PPP).

About the COVID-19 Employee Retention Tax Credit (ERTC)

Is your business suffering due to the COVID-19 crisis but still supporting your employees? You could be eligible for a refundable retention credit of up to $5,000 per employee.

The CARES Act established a one-year only credit against an employer’s 6.2% share of payroll taxes for any business that is affected by the COVID-19 pandemic, but continues to pay its employees during the shut-down.

Who is Eligible?

Private employers carrying on a trade or business in 2020 that: (1) Have operations partially or fully suspended as a result of orders from a governmental authority due to COVID-19, or (2) Experience a decline in gross receipts by more than 50% in a quarter compared to the same quarter in 2019.

Employers who receive a Paycheck Protection Program (PPP) loan are not eligible for the ERTC. To learn more about PPP loans, visit the SBA.

How much is the tax credit?

This refundable tax credit is worth up to $5,000; a 50% tax credit for the first $10,000 of compensation, including the employer portion of health benefits, for each eligible employee.

Compensation does not include paid sick or family leave for which the employer is reimbursed under the Families First Coronavirus Response Act.

The credit only applies to wages paid after March 12, 2020 and before January 1, 2021.

Which employees are eligible?

For employers with more than 100 employees: Full-time employees who are (i) being paid but (ii) not providing service due to either a full or partial shutdown or a reduction in gross receipts count toward eligibility

For employers with 100 or fewer full-time employees: All employees, regardless of whether those employees are providing service, count toward eligibility.

Employers may not claim the same employee for this credit and the Work Opportunity Tax Credit for the same period. In addition, employers may not claim the same wages for an employee under this credit and also under the employer credit for FMLA or the Families First Corona Response Act Paid Leave.

How is the credit paid?

The refundable credit is applied against the employer portion of payroll taxes. The Treasury Department will develop a process for employers to receive an advance payment of the tax credit.

Contact RetroTax

RetroTax is here to guide you through this process. Reach out to us now to get started: