What is the Employee Retention Credit (ERC) and could your church benefit?
Venture Church Network Nor Cal & Nevada has put some great information together for VCN churches to utilize to answer this question.
- It is a refundable tax credit for businesses that continued to pay employees while shut down due to the COVID-19 pandemic or had significant declines in gross receipts from March 13, 2020, to December 31, 2021. Eligible employers can claim the ERC on an original or adjusted employment tax return for a period within those dates.
- This was introduced as part of the CARES Act and included tax credits for businesses to retain employees during the pandemic. The ERC is one of the single largest small business stimulus in U.S. history.
- It is a payroll tax refund from the United States Treasury Department applicable to businesses who kept employees on payroll during the pandemic.
- How will I know if I qualify? We suggest you watch this introductory video by Ministry Works. Link (scroll down the page to see the video)