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ERC (Employee Retention Credit)

What is ERC?

As part of our Business Development strategy we can help with the Employee Retention Credit:


Employee Retention Credit (“ERC”) provides a wide variety of employers with lucrative refundable payroll tax credits for qualified wages paid to employees in 2020 and 2021.

This a payroll rebate for payroll taxes already paid on W2 employees. 


It is not a loan or a grant or free money.

Where did the credit come from?

The CARES Act, 3/27/2020 (Coronavirus Aid, Relief & Economic Security Act)


•Paycheck Protection Program (PPP)

•Economic Disaster Loans (EIDL)

•Deferral of ER Social Security Taxes

•Employee Retention Credit


At the time if you received a PPP loan you could not receive the ERC.


The Consolidated Appropriations Act, on 12-27-2020 made two major changes to the ERC.

Retroactive – Employers can now claim ERC even if they had a PPP loan. This made the ERC retroactive and employers can file an amendment for their taxes to receive the ERC for 2020.

It also extended the Credit into first 3 quarters 2021 with new higher limits on the credits.

•Original limits were $5,000 - $7,000 per employee. 

•Higher Limits – Up to $26,000 per employee

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