Does your organization qualify for the Employee Retention Credit (ERC)? Expanded coverage rules in 2021 are making this financial benefit increasingly attractive for more ministries and other nonprofits affected by the coronavirus pandemic.
Wagenmaker & Oberly is pleased to share a recent article from MinistryWorks, which explains the ERC’s eligibility requirements, financial benefits, and how to claim the credit. Key points include the following:
- Eligible employers must show that either (a) they at least partially suspended operations between March 13, 2020 and December 31, 2021 due to COVID-related government orders, or (b) they experienced at least a 20% decline in gross receipts in a calendar quarter.
- The available tax credit amount is also increased from $5,000 to $28,000, per qualified employee.
- ERC availability is extended through December 31, 2021.
- The ERC is available to employers even if they received Paycheck Protection Program (PPP) loans.
MinistryWorks is a ministry-focused payroll provider affiliated with Brotherhood Mutual. For more information about MinistryWorks’ services, please click here to visit their website.