filmov
tv
I'm Self-Employed - Do I Qualify for the Employee Retention Credit?
Показать описание
Tax Law Offices
312-212-1000
💚💚SUBSCRIBE HERE💚💚
Do not miss this VALUABLE INFORMATION.
**************
I'm Self-Employed - Do I Qualify for the
Employee Retention Credit?
Most business owners have heard about the Employee Retention Credit (ERC). If you are self-employed, you may be wondering whether you also qualify. After all, the pandemic was hard on you too, and a
few thousand (or maybe tens of thousands of dollars) could be helpful.
Here is what you need to know.
What is the Employee Retention Credit?
The ERC is a refundable tax credit for businesses that kept paying their employees while shut down during the pandemic. Businesses that had large declines in their profits from March 13, 2020 – December 31st, 2021, may also be eligible.
What Employers are Eligible for the ERC?
To be eligible for the ERC:
1. The employer fully or partially suspended operations due to orders from a governmental authority as a result of Covid 19. This suspension of operations must have taken place during 2020 or the first three quarters of 2021.
2. The employer experienced a large decline in profits during 2020 or the first three quarters of 2021.
3. The employer qualified as a recovery start-up business in either the third or fourth quarters of 2021.
What If You Are Self-Employed?
If you are self-employed, you are not eligible for the Employee Retention Credit.
The ERC is not available to you as your own employee.
The Employee Retention Credit would only be available if you have paid employees.
The wages that you pay your employees are what the IRS uses to
determine if you are eligible for the credit and how much the credit will be.
Unfortunately, there are a lot of third-party businesses that have been encouraging people to fraudulently apply for and receive the ERC.
See this article for more on the Employee Retention Credit Scam.
What if You are Self-Employed and have Already Received the
Credit?
If you are audited, the IRS is going to determine you were not eligible to receive the credit. They will require you to pay back the full amount of credit you received. You could also be responsible for paying a
penalty of either 25% or 75% of the credit.
Unfortunately, there is nothing you can do to prevent having to pay back the credit.
However, you may be able to decrease or eliminate any penalties. How can you do this?
The main thing the IRS is going to look at is whether you “knew or should have known” you were not
eligible for the credit. You can avoid the penalty by showing that you relied on the advice of a tax
professional and you did not know you weren’t eligible.
Do You Need Professional Help?
If you find yourself in this situation, strongly consider getting legal representation. IRS Audits, and
especially audits regarding fraudulent tax returns, have real legal consequences. This isn’t something you
should try to handle yourself.
You need to find a qualified tax attorney that you can trust. That attorney will have the knowledge and resources to give you the best possible help in this situation.
****************
****************
#IRS #TaxDebt #TaxAdvisor
312-212-1000
💚💚SUBSCRIBE HERE💚💚
Do not miss this VALUABLE INFORMATION.
**************
I'm Self-Employed - Do I Qualify for the
Employee Retention Credit?
Most business owners have heard about the Employee Retention Credit (ERC). If you are self-employed, you may be wondering whether you also qualify. After all, the pandemic was hard on you too, and a
few thousand (or maybe tens of thousands of dollars) could be helpful.
Here is what you need to know.
What is the Employee Retention Credit?
The ERC is a refundable tax credit for businesses that kept paying their employees while shut down during the pandemic. Businesses that had large declines in their profits from March 13, 2020 – December 31st, 2021, may also be eligible.
What Employers are Eligible for the ERC?
To be eligible for the ERC:
1. The employer fully or partially suspended operations due to orders from a governmental authority as a result of Covid 19. This suspension of operations must have taken place during 2020 or the first three quarters of 2021.
2. The employer experienced a large decline in profits during 2020 or the first three quarters of 2021.
3. The employer qualified as a recovery start-up business in either the third or fourth quarters of 2021.
What If You Are Self-Employed?
If you are self-employed, you are not eligible for the Employee Retention Credit.
The ERC is not available to you as your own employee.
The Employee Retention Credit would only be available if you have paid employees.
The wages that you pay your employees are what the IRS uses to
determine if you are eligible for the credit and how much the credit will be.
Unfortunately, there are a lot of third-party businesses that have been encouraging people to fraudulently apply for and receive the ERC.
See this article for more on the Employee Retention Credit Scam.
What if You are Self-Employed and have Already Received the
Credit?
If you are audited, the IRS is going to determine you were not eligible to receive the credit. They will require you to pay back the full amount of credit you received. You could also be responsible for paying a
penalty of either 25% or 75% of the credit.
Unfortunately, there is nothing you can do to prevent having to pay back the credit.
However, you may be able to decrease or eliminate any penalties. How can you do this?
The main thing the IRS is going to look at is whether you “knew or should have known” you were not
eligible for the credit. You can avoid the penalty by showing that you relied on the advice of a tax
professional and you did not know you weren’t eligible.
Do You Need Professional Help?
If you find yourself in this situation, strongly consider getting legal representation. IRS Audits, and
especially audits regarding fraudulent tax returns, have real legal consequences. This isn’t something you
should try to handle yourself.
You need to find a qualified tax attorney that you can trust. That attorney will have the knowledge and resources to give you the best possible help in this situation.
****************
****************
#IRS #TaxDebt #TaxAdvisor
0:03:42
How To Register As SELF EMPLOYED In 3 Easy Steps
0:12:21
How The Self Employment Tax Works (And How You Can Avoid It!)
0:02:41
Ways to show Proof of income when you are Self employed
0:09:01
BEING SELF EMPLOYED AND EMPLOYED AT THE SAME TIME
0:00:58
I’m self-employed, do I need workers’ comp insurance?
0:07:01
What Bank Account Should I Use If I Am Self Employed? UK
0:02:49
How to Get a Tax Refund if You are Self Employed?
0:00:38
What about PENSIONS when you’re self-employed? | #shorts
0:13:14
TIP! New SSA Practice - The Work History Report REDO - For SOME.
0:02:51
I'm Self-Employed - Do I Qualify for the Employee Retention Credit?
0:21:02
How I Make Money as a Cozy Self-Employed Artist ✿ The BIG Q&A: Finance, Taxes, Small Biz, Confid...
0:09:58
Self Employed Mortgage: How To Get Approved in 2022 if Self-Employed or Entrepreneur 🏠
0:07:46
Should I Give Up Being Self-Employed?
0:02:26
Pros and Cons of Being Self Employed. HANDY TAX ADVICE
0:07:13
HOW DOES SELF EMPLOYMENT TAX WORK IN THE UK?
0:05:26
The Right Way To PAY Yourself! (When You're Self-Employed)
0:01:59
Self Employed Income Taxes - How Much Self Employed Income is Required to File a Tax Return?
0:05:46
IRA for Self Employed (EVEN BETTER THAN A 401K!)
0:10:12
Self-Employed Taxes: What Freelancers NEED to Know
0:00:46
I'm Self-Employed. Do I Need Workers' Comp Insurance?
0:00:50
I'm Self-employed. How do I Save for my Retirement?
0:11:19
Self Employment Tax Deductions to Take Advantage of in 2023!
0:11:42
Being Self Employed & Tax
0:00:41
Can I Get Car Finance If I'm Self-Employed?
Комментарии