The ERC was extended to the end of 2021 by the Consolidated Appropriations Act and American Rescue Plan that was passed earlier this year. If the Senate has its way, this popular program won’t be available for the 4th Quarter of this year.
The infrastructure bill approved by the Senate has a provision that ends the Employee Retention Credit three months sooner than expected.
Passage of the bill is far from guaranteed. The House is yet to take it up and pass their own version. If they do, the bill would still need to be reconciled between the two house versions and voted on again.
The bill passed by the Senate doesn’t include language that stops funding from prior periods. It doesn’t say anything about claiming the credit from the 3rd Quarter of 2020 through the 3rd Quarter of 2021.
If we’ve claimed the credit for those periods and you are still waiting on a payment, it is still safe. The proposed bill just says that we can’t claim the credit on the 4th Quarter of 2021 Form 941.
If you haven’t yet signed up for our Employee Retention Credit Consulting and Preparation Program, I’d get it done now while it still exists.
It’s difficult to believe that our administration and both houses dominated by Democrats would stop the money flowing to America’s small businesses when it is needed the most. Well see what gets done and will continue to report on this continuing story.
Let me leave you with this.
It’s a Friday in August, and it looks like we’re going to have a beautiful weekend. The sun is shining, the birds are chirping, and the traffic on Lake Shore Drive is enough to gag a maggot, but we aren’t going to let that get us down.
This is the last weekend before many of our kids go back to school. Let them go outside and enjoy the weather. Take them to a park, to their favorite ice cream stand, or down to the lake where they can marvel at the perfection of nature.
Spend some time centering your soul. Read a book, ride a bike, exercise, or just get some sleep. Take your significant other out for a romantic dinner. Do something that you enjoy.
Fall is coming, and something tells me that this one isn’t going to be a picnic.
We’re all going to get through this. Let’s get through it together.
Accounting Solutions Ltd. stands ready to complete our mission of protecting you, your family, and your business. Whether you need help with Employee Retention Credits, PPP Loan Forgiveness, Payroll Services, or Bookkeeping and Tax Work, you can rely on us. 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.