The Small Business Jobs Act of 2015 (the “Act”) provides for a new business tax credit intended to make it easier for small business to keep and attract employees. As the Act was passed, it’s safe to say that the legislative process was complicated by the massive amount of publicity that the ACA (Affordable Care…
Today I am going to walk you through two parts of the tax law passed this year to a) increase the number of qualifying jobs in the state where the work is performed and b) increase the size of the EWC tax credit. I will explain what you need to know about these changes and…
Many businesses have a difficult time complying with IRS regulations because their industry is so specialized. If your company makes products for sale through retailers, for example, you might not be familiar with what the tax implications are of selling products below cost. A commonly overlooked regulation is IRS Publication 521, Employee Benefits (and the…
ERTC or Employee Retention Tax Credit is a key tax incentive that encourages employers to retain experienced employees and incentivizes early retirement of less experienced workers. While there has been some momentum building in Congress towards making major changes to ERTC, the recently-passed omnibus budget bill, signed by President Trump, preserves the current system. In…
Employee Retention Credit or ERC is reevaluating the status of small employee for increasing cash payments. The current cash preference (which does not increase due to ERC) for all small employee is paid in the first three years for earnings up to $40,000, and that cash preference reduces annually until it reaches zero. According to…
The Employee Retention Tax Credit is a complex legislation, passed in 1981 to encourage businesses to retain their employees after a certain period of time and pay them a portion of their regular wages or salaries as well as a certain amount of overtime pay, depending on the type of employee. The employees must have…
