AMC ~ ERC

ERC *Frequently Asked Questions*

What’s the Process look like?

After you apply with Line of Credit Depot, we start working to find a partner bank that will be interested in extending a credit line for your business. There are many different data points our platform uses to understand which banks will garner the best approval. For example, if a construction company is being pre-underwritten in our portal, our technology knows which banks in that state work with construction companies that make over $1 million and less than $5 million per year, with a time in business of 3 years. This pre-underwriting tells us which of our partner banks are most likely to approve the business for a line of credit. So, instead of applying blindly to tons of banks in your area, we take care of this for you.

What period does the program cover?

The program began on March 13th, 2020 and ends on September 30, 2021, for eligible employees. You can apply for refunds for 2020 and 2021 and after December 31st of this year, into 2022 and 2023. And potentially then too. We have clients who received refunds only, and others that, in addition to refunds, also qualified to continue receiving ERC in every payroll they process through December 31, 2021, at about 30% of their payroll cost. We have clients who have received refunds from $100,000 to $6 million.

Can I get ERC Funds if I already accepted the PPP ?

What’s the Process look like?

Absolutely! Enacted December 27,2020, The Taxpayer Certainty and Disaster Tax Relief Act of 2020 modified the ERC credit rules. One included allowing a company to accept the PPP loan and still be applicable for the ERC program funds. However, you can't use the same dollar for dollar funds. We take this into account when processing your ERC credit.

How do I know if my business will qualify ?

What’s the Process look like?

Remember that this program is taken according to payroll taxes paid, not on income taxes. ERC funds not applied towards owed payroll taxes are treated as an 'over-deposit' of taxes that will be requested as a refund check from the IRS.

I'm getting more in ERC Credit than I paid in taxes ?

What’s the Process look like?

Is the ERC Credit taxable ?

What’s the Process look like?

The ERC credit is not considered income for federal income tax purposes, but you must reduce any deductible wage expenses by the amount of the credit. Please provide the credit information to your CPA for tax purposes.

Do we still qualify if we did not incur a 20% decline in gross receipts?

What’s the Process look like?

Your business qualifies for the ERC, if it falls under one of the following:
A government authority required partial or full shutdown of your business during 2020 or 2021. This includes your operations being limited by commerce, inability to travel or restrictions of group meetings.
Gross receipt reduction criteria is different for 2020 and 2021, but is measured against the current quarter as compared to 2019 pre-COVID amounts.

‍

What’s the Process look like?

My revenue went up in 2020, am i still eligible for the Employee Retention Program ?

Yes! There are two possible qualifications for 2020: revenue reduction, or a "full or partial shutdown of your business due to COVID-19". Specifically the IRS describes this as "A government authority required partial or full shutdown of your business during 2020 or 2021. This includes your operations being limited by commerce, inability to travel or restrictions of group meetings."

Do we still qualify if we remained open during the pandemic?

What’s the Process look like?

Yes. To qualify, your business must meet either one of the following criteria:
‍
Experienced a decline in gross receipts by 20% OR Had to change business operations due to government orders.
‍
Many items are considered as changes in business operations, including shifts in job roles and the purchase of extra protective equipment. The ERC, in this case, also applies only for Q3 and Q4 of 2021. Businesses can qualify, regardless of the number of full-time employees.

CARES Act Employee Retention Credit

WHY US ?

ERC Program Expert

No Credit Check

Apply in 10 mins

Fast and Effect Results

To qualify, your business must have been negatively impacted in either of the following ways:

Ready to Get Started? It’s Simple

How Do You Know if Your Business is Eligible?

NEWS

Full Name

Full Name

Full Name

Full Name

Full Name

Full Name