Okay, it’s 2023. But it’s not too late to qualify for the employee retention credit (ERC).

If you qualify and want your money, you must amend your 2020 and 2021 payroll tax returns.1 Sure, that’s a pain.

But if you have a dozen employees and qualify for maximum tax credits, you are looking at $312,000.2 That certainly nullifies the minor pain of amending those payroll tax returns.

Oh, you’ll also need to amend the business income tax returns for 2020 and 2021 to show the ERC as a reduction in payroll expenses for the qualifying years.3 Again, not hard—just a pain.

How Do I Qualify?

Assuming you aggregated your businesses and paid qualified wages in 2020 and 2021, look at the following flowchart for the big picture on how you can qualify for the ERC.

Decline in Gross Receipts

The gross receipts test is mechanical. COVID-19 did not have to cause your decline in gross receipts.

Key point. The gross receipts test renders the maximum ERC money ... Log in to view full article.