The IRS has updated the eligibility requirements for Employee Retention Credit (“ERC”), which is a part of the CARES Act. The program provides a fully refundable tax credit for employers equal to 50 percent of qualified wages that eligible employers pay their employees.
Eligible employers can get immediate access to the credit by reducing employment tax deposits they are otherwise required to make. Also, if the employer’s employment tax deposits are not sufficient to cover the credit, the employer may get an advance payment from the IRS.
Please see the updates on Page 4 of the attached information for more details.
