In 2023, claiming the Employee Retention Credit (ERC) can seem like a daunting task, especially if you aren’t familiar with the “Complex Qualifiers.” The paperwork, the complex IRS forms, and the meticulous information gathering can be overwhelming. That’s why Smart ERC’s team of Former IRS Agents is your go-to solution for maximizing your ERC benefits. Today, Oliver, one of our former IRS Agents, is here to guide you through the crucial IRS forms you need to know about. Let’s dive in!
Former IRS Agent Oliver:
Hello, everyone! Let’s demystify the essential IRS forms required for the ERC application process. While your business might not need all of these forms, it’s crucial to understand which ones are essential.
1. Forms 941 –
Employer’s Quarterly Federal Tax Return Form 941 plays a pivotal role in the ERC application process. It’s used to report employee wages by quarter, ensuring that all federal taxes are appropriately handled. This form needs to be filed quarterly, so it’s vital to stay on top of it.
2. Forms 7200 –
Advance Payment of Employer Credits Due to COVID-19 Please note that Form 7200 is no longer applicable after January 31, 2022. It was utilized for requesting advance payments of employer credits due to COVID-19. Make sure to double-check the deadlines for any remaining submissions.
3. Form 8655 –
Reporting Agent Authorization Form 8655 comes into play when you have an authorized agent filing on behalf of your business. This form grants the agent the authority to sign the Employer Identification Number (EIN) on your behalf. It’s a critical component for businesses employing authorized agents.
4. PPP Applications and Forgiveness (If Applicable)
If your business applied for the Paycheck Protection Program (PPP), you’ll need to provide relevant information and the application as part of the ERC process. Additionally, any other forms related to COVID relief programs you applied for should also be included. Ensuring the accuracy of this information is essential to determine your ERC eligibility based on wages and quarters.
5. Financials –
The Key to ERC Calculation Financials are the linchpin in calculating your ERC benefits. Businesses must showcase a predefined revenue decline to qualify for the ERC. This metric measures the percentage of revenue decline from pre-COVID business. To ensure your ERC calculation is accurate, you’ll need to provide financial data for the following quarters: All Quarters in 2019 All Quarters in 2020 The First Three Quarters of 2021
6. Government Orders for Shutdown or Suspension (If Applicable)
If your business endured shutdowns or suspensions due to government orders, you must provide the relevant paperwork to substantiate your claims. Include all government orders received that directly impacted your business operations.
Maximize Your ERC Benefits with SmartERC
To ensure you receive the maximum ERC benefits, it’s advisable to seek the assistance of experienced IRS experts, such as our exclusive team of former IRS Agents. At SmartERC, we’ve processed thousands of these files during our IRS tenure, giving us unique insights into optimizing your ERC returns.
Thanks to our expertise, our clients typically secure a whopping 36% more ERC funds compared to others. But that’s not all – we have an actual case study where we obtained over three times more ERC money for a client than their CPA, even after the CPA had already filed!
Furthermore, it’s important to act promptly. The United States Congress has already reduced ERC credits from up to $33,000 per employee to $26,000 per employee. To safeguard your share, don’t delay. Reach out to SmartERC’s exclusive former IRS agents today before Congress takes further action.
Ready to Unlock Your Maximum ERC Benefits? Don’t let valuable funds slip through the cracks. If you want Oliver and our team of former IRS agents to determine your ERC eligibility before the deadline, click here. You can alsoreach us around the clock by calling 800-707-0524.
Your ERC benefits are within reach – claim them now!