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New Guidance Sheds Light on the Employee Retention Credit

May 01, 2020

The Internal Revenue Service (IRS) and Joint Committee on Taxation have issued new guidance to help clarify employer requirements for claiming the Employee Retention Credit (ERC) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The ERC provides a 50% credit against the employer’s portion of Social Security taxes (Old Age, Survivors, and Disability Insurance) on up to $10,000 of “qualified wages” per employee. The credit may be applied to the employment taxes for all employees of the employer. To claim the ERC, the company needs to be an “Eligible Employer.” (Read More)

Article by: Amberly A. Morgan Littler

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