Employers can still apply for the ERTC retroactively by filing Form 941-X, Employer's Adjusted Federal Tax Return or Refund Request, for each quarter in which they have paid qualifying wages. Employers can file Form 941-X up to three years after the original payroll tax due date, which is normally April 15.Originally, employers with 100 or more employees were prohibited from applying for credit with respect to wages paid to employees who worked (in other words, only wages paid to employees who did not work or who worked with reduced hours were counted). The ERC can be requested retroactively on an amended 941-X payroll tax return, if the statute of limitations is still open. The IRS has also provided help to taxpayers who owe additional income taxes because their deduction for qualified wages was reduced by a retroactively requested employee retention tax credit if the taxpayer cannot pay the additional tax because the ERTC refund has not yet been received.
The ERTC, also known as the employee retention credit (ERC), is a refundable payroll tax credit that companies receive on the costs of qualified employees, including salaries and certain benefits. Business owners can apply for the ERTC retroactively for wages paid in previous quarters by filing Form 941-X, the employer's adjusted quarterly federal tax return, or requesting a refund. Milito continued to give step-by-step instructions on how to calculate credit and shared success stories of homeowners who received the ERTC. On July 6, Elizabeth Milito, senior executive advisor to the NFIB Small Business Law Center, and Holly Wade, executive director of the NFIB Research Center, organized a webinar on how to apply for the Employee Retention Tax Credit (ERTC), also known as ERC.
Leave Message