How Can the ERTC Boost Your Company Competitiveness?
If you were a business owner in 2020 and 2021, you know how hard it was to combat the financial loss you faced from the COVID-19 pandemic. While businesses are generally up and running normally in 2023, the impact lingers.
Your business competitiveness matters more than ever. Many businesses are taking advantage of the Employee Retention Credit (ERC), a.k.a. the Employee Retention Tax Credit (ERTC). Business competitiveness depends on several factors, many of which the ERTC can help you with.
So, how can the employee retention credit boost your business’s competitiveness?
What Is the ERTC?
The Coronavirus Aid, Relief, and Economic Security (CARES) Act introduced the Employee Retention Tax Credit in 2020. It incentivized employers to keep employees on their payroll despite the economic distress everyone was facing.
Through the American Rescue Plan Act of 2021, the government expanded the ERTC to benefit more businesses. While the credit originally only applied to businesses without PPP loans and covered 50% of employee wages up to $10,000 in 2020, 2021 allowed businesses to claim up to 70% of employee wages up to $10,000.
How Your Business Can Still Benefit From the ERTC
While many business owners want to think of the losses they suffered from COVID-19 as a thing of the past, the impact remains prevalent. Your business can still collect ERTC benefits to regain some of that control.
Eligible employers can retroactively file for the ERTC through April 2024 for wages they paid in 2020 and through April 2025 for wages they paid in the first three quarters of 2021. The global economy still has not recovered from COVID-19, and taking advantage of the economic incentives the ERTC offers can give your business the extra boost it needs.
Tax credits can do a lot for the economic security of your business, but they can also contribute to your business’s competitiveness.
On September 14, the IRS announced “an immediate moratorium through at least the end of the year on processing new claims for the pandemic-era relief program” as a result of increased fraud concerns.
IRS Commissioner Danny Werfel noted in the announcement, “The IRS is increasingly alarmed about honest small business owners being scammed by unscrupulous actors, and we could no longer tolerate growing evidence of questionable claims pouring in,” and noted that when it comes to claiming the credit, “businesses should seek out a trusted tax professional who actually understands the complex ERC rules.”
If you work with a tax professional on your Employee Retention Tax Credit application, you’ll have the knowledge and resources of a team that thoroughly understands the ERTC and tax code on your side and will be less likely to turn in an invalid claim for the credit.
How the ERTC Boosts Your Company Competitiveness
Are you struggling to keep up with competitors? Being able to stand out from business competitors is essential to your success. One way to give yourself an extra boost is through the ERTC. Business competitiveness relies on financial security, employee retention and satisfaction, and having an edge over your competitors.
If you’re eligible for the ERTC, it can give you the financial boost you need. With more money comes more resources. Use your access to additional tools for boosting business performance to provide your customers with something your competitors can’t.
Employee Retention and Satisfaction
If there’s anything the pandemic taught business owners, it’s that all employees are essential. Having and keeping good employees helps your business run smoothly.
The only way to maintain a well-oiled machine is to satisfy your employees. The ERTC allows you to continue paying their wages, including some healthcare expenses. With less turnover, your business will be more competitive.
Small Business Benefits
It is harder for small business owners to compete with bigger brands and reputations. While any business of any size can claim the ERTC credit, the government tailored it to benefit small and medium-sized businesses in times of financial distress. The ERTC can give your small business the extra security to gain an edge over your competitors.
Contact ERTC Recovery Lawyers To Boost Your Competitiveness
When you already have so much on your plate, you don’t want to have to navigate tax benefits alone. Contact our lawyers at Dayes Law Firm to claim the ERTC. Business competitiveness is one of the many benefits you can reap from claiming this credit. Call 866-567-4510 today for a free consultation.