Under IRS Notice 2021 – 49, a Recovery Startup Businesses (RSB) is allowed to claim the ERC in the 4th Quarter of last year while older existing businesses are not. In order to qualify as a RSB, an entity must
1 – Have begun carrying on their trade or business after February 15, 2020
2 – Have annual gross revenues below $1M
If an entity was filed prior to February 15, 2020, but didn’t actually begin operations until after that date, they can claim the credit. Further, to claim the credit, a RSB must also qualify under the normal rules.
If this scenario fits you, or you know an entrepreneur who could benefit from this, we’d love to help.
Let me leave you with this.
The Wall Street Journal reported today that the White House was again entering into discussions with Sen. Manchin about reviving the Build Back Better Legislation. Meanwhile, the Senate is calling a vote today on the voting rights bill that they know will ultimately fail.
When did operating the federal government become a process of wasting time?
The midterm elections are coming in a few months. Current poling data suggests that the Republican Party will again control both houses.
They won’t have enough votes to reverse a veto, but they may again have a majority. All of this leads to a basic conclusion.
We may not have a functioning federal government for the next two or three years.
I don’t care what your political leanings happen to be. Whether you lean far left, far right, are a centrist, or any permutation in between, we all need a functioning federal government.
The idea that is America isn’t a stagnant one. It evolves, and our ability to rule and manage such an unyielding beast must evolve along with it.
We live and manage our businesses in difficult times. Wouldn’t it be great to have a federal government that could help?
I fear we won’t have one capable of ruling for quite some time. I pray that I’m wrong, but it doesn’t look like it.
I’ve managed my businesses through similar times. The Bush the First White House immediately comes to mind.
My point is that as entrepreneurs, many things are outside of our control. The environment we operate in is certainly one of those factors.
We can’t control it but we can certainly respond to it and potentially profit from it.
Understanding the times we live in is the first step. Making our plans certainly comes next.
Remember that when the world gives you lemons, a good entrepreneur finds a way to make meringue.
Opportunities abound in both good times and bad.
We’re all going to get through this. Let’s get through it together.
Accounting Solutions Ltd. stands ready to complete our mission and purpose of protecting you, your family, and your business. Whether you need Employee Retention Credits, PPP Loan Forgiveness, Payroll Services, or Accountant and Tax Work, you have but to ask. I’m here and I remain,
Sincerely yours,
Chris Amundson
President
Accounting Solutions Ltd.
773-267-7500
www.AccountingSolutionsLtd.com
Note that the only professional services provided by Accounting Solutions Ltd. are those specified in a written communication from our office detailing the scope of services to be rendered and the terms and conditions applicable to the engagement.