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ERC Credits are not loans and they most importantly do not need to be repaid. Tens of billions of ERC Credits sit untouched by companies and businesses that qualify for the program.
BOCA RATON, FL, December 22, 2022 /24-7PressRelease/ -- Financial Match, a B2B consultant company, took a brief poll and asked business owners their 4 most pressing questions for the ERC program.
Financial Match's experts then answered those four ERC questions regarding their assistance program that serves in helping small businesses receive the money they need to help them through the difficult economy that currently faces the nation. The program helps small businesses throughout the country apply for Employee Retention Credits (ERC) that each amount to $200,000.
Small businesses are now wary of any Covid-19 related financial assistance due to the Covid-disaster loan program that took place two years ago, which many are unable to provide repayments for. Roughly $390 billion in Covid disaster loans were issued to nearly four million small businesses and nonprofits. The disaster loans were designed to be repaid, unlike some forgivable loans that were also issued.
ERC Credits are not loans and they most importantly do not need to be repaid. Tens of billions of ERC Credits sit untouched by companies and businesses that qualify for the program if they experienced any of the following problems: revenue reduction, shutdowns, or supply chain reductions. There are no upfront fees and no credit check required to apply.
Some important questions Financial Match clients often have regarding the ERC Program are answered below:
Is the ERC Program a loan?
Many employers question whether the ERC Program is a loan similar to the pandemic loans that small businesses were able to apply for and are now not ready to repay. The ERC Program is NOT a loan, it is considered government money for businesses affected by the COVID-19 pandemic.
Can we qualify if we already received a PPP loan?
ERC is available to employers who get PPP provided they meet the following criteria: The PPP loan does not cover the qualifying salaries of the employer, a member of the controlled group is getting PPP while another member of the group who is not receiving PPP has applied for ERC, qualifying wages are obtained using profits from a forgiven PPP loan, but the forgiveness is not for the same earnings as the ERC qualifying wages.
Wasn't the ERC program from several years ago?
The ERC was originally created in the CARES Act of 2020 as a refundable payroll tax credit rather than an income tax credit and was applicable to wages paid after March 12, 2020, through the end of 2020. However, the ERC was extended and modified by the Consolidated Appropriations Act of 2021 including retroactive changes that are taxpayer-friendly such as being able to take the ERC even if the taxpayer has received the Payroll Protection Plan (PPP) loan.
How can we check if we are eligible to apply for ERC?
You can check to see if your business qualifies to apply for ERC through Financial Match's 60 second pre-qualification quiz on the Financial Match ERC page linked below. Businesses will be able to find out their ERC Credit amount for free.
About Financial Match
Founded in Boca Raton, FL, Financial Match is a leading national business advisory practice that thrives on creating meaningful relationships with businesses. The company works with a network of expert CPAs who assist clients in quantifying and filing for ERC Credits and other bottom line enhancing grants.
To learn more about Financial Match and applying for the ERC program, please go to www.financialmatch.com.
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