Employee Retention Tax Credit for New York Businesses
Congress created the Employee Retention Credit (ERC) stimulus plan as part of the CARES Act passed in 2020. To respond to the COVID pandemic, Congress chose to reward those companies that kept employees on the payroll during this difficult time. Over 99% of businesses will qualify!
ERC in New York provides employers with a max of $5,000 for each employee for 2020, and a max of $7,000 per employee for the first three quarters of 2021, which can be claimed retroactively.
In total, New York businesses can receive $26,000 per employee for the entire program. 99% of New York City, Buffalo, and Yonkers businesses will qualify for this credit!
ERC isn’t a loan like PPP. It is an even greater incentive for continuing to employ people during the government shutdown. And it’s your money to keep! Spend it on whatever you want!
Too many businesses assume they can’t qualify, so they never even investigate it. Few CPAs are aware of this program, and the information online is mostly rumor or inaccurate. We know how to make you qualify legally, and give you all your documentation to be ready for any IRS audit. Please contact Sunrise Business Solutions | ERC Guaranteed today to get started.
We have helped businesses in Kings County, New York County, and Suffolk County qualify. We guarantee it, and Berkshire Hathaway’s THREE insurance guarantees it. 100% risk free.
I got PPP—Can I also get ERC Money?
Yes! These programs are different. Congress opened ERC so now you can qualify for both.
In fact, ERC is a better program than PPP. Our clients usually receive between 3 and 7 times more than PPP.
PPP benefits do not count as part of your wages for ERC qualification purposes. Fortunately, Sunrise Business Solutions | ERC Guaranteed knows how to calculate ERC accurately. You never have to worry about being disqualifie if you work with us for ECR tax credits in New York.
Do I have to wait long for my ERC Check?
Not at all. Our ERC Experts guarantee we can complete the submission process in less than 5 days. We process payroll, reconcile any PPP periods, and create attribution schedules. We can then go ahead and file your forms with the IRS. You just sit back and wait for them to process your paperwork and send a check to you—roughly 16 weeks from submission.
What businesses qualify for ERC in New York?
You can claim ERC in New York if your business suffered any ONE of the following:
Your business saw significant declines in quarterly gross receipts of 50% or more in 2020 or 20% or more in 2021.
Your business suffered a full or partial government shutdown which affected more than a nominal portion of your business.
Many so-called ERC experts wrongly state you must see a decrease in gross receipts. That’s not true.So long as you suffered at least a partial suspension of business operations you can qualify for employee retention credit in New York and see below what partial suspension means.
We have obtained ERC benefits for all kinds of businesses in New York City, Buffalo, Albany, and other cities and towns in New York:
- Construction companies
- Personal care businesses
- Transportation companies
- Health care practices
- Daycares and other educational businesses
- Retail stores
- Personal services industries
Does my partial suspension of operations qualify?
Yes! Many COVID orders impacted businesses across New York. A partial suspension could be anything like:
- Sanitizing or cleaning your business to comply with government orders
- Limiting capacity inside your business
- Scaling back on hours of operating
- Canceling in-person meetings with clients
- Installing protective equipment
- Temperature checks of employees or customers at the door
- Shuttering departments or business units while others remain open
- Suspending certain operations as staff transitioned to at-home work
- Canceling the attendance at conferences or trade shows
- Reducing employee workload
- Shuffling or transitioning employees between departments
A partial suspension can also stem from SUPPLY CHAIN INTERRUPTIONS backed up by a government COVID order. You might have:
- Lost key contracts with vendors or clients
- Struggled to source materials or component parts
- Been unable to do business with
- Delayed customer care or services
My business actually GREW during COVID—Am I Disqualified from ERC?
You can still qualify! A reduction in income is only ONE WAY to qualify for ERC benefits.
If you suffered even a partial suspension or shutdown, you qualify for ERC tax credits. We have helped businesses which:
- Were forced to socially distance clients or customers
- Subject to capacity limits on their offices or stores
- Suffered disruption due to supply chain issues with key vendors or clients
- Reduced their employees’ hours or shuffled them into new jobs
- Had to stop doing certain tasks while transitioning to a remote workplace
- Stopped offering products or services
- Cleaned their offices according to COVID orders
99% of businesses were subject to some government COVID order. This means you can receive ERC credit.
Why didn’t my CPA or Payroll company tell me about this?
Odds are they haven’t heard of it. Payroll companies process payroll, but this is a tax refund issued by the Treasury. Most CPAs only handle business income tax, so they are unfamiliar with payroll.
In a sense, the ERC has fallen in the gaps and few people know about it. But we are experts at getting New York businesses qualified for ERC Money.
Will my New York Business pay taxes on my ERC?
No. The credit isn’t “income” when it comes to federal income tax. This means you don’t pay taxes on it. However, because you can deduct wage expenses from business income, you’ll need to account for that. Contact your CPA and pass along your credit information.
Do I pay back ERC Money?
Never! ERC isn’t a loan. It’s more of a grant. In fact, it’s YOUR MONEY being returned to you.
ERC money also isn’t an income tax credit because it doesn’t have anything to do with your annual business tax returns. Instead, it’s a refundable tax credit created by Congress in the CARES Act.
What can I spend ERC Money on?
Anything you want! Because this is your money returned to you, there are no limitations. You don’t even need to spend it on your business. ERC is different from PPP, which had to be spent on certain business expenses.
Is Claiming ERC for New York businesses really this easy?
Yes! Just call Sunrise Business Solutions | ERC Guaranteed today to get a free quote. We provide confidential services to our clients, so you never have to worry about hidden charges or fees.
What does Sunrise charge for your services?
We only charge a percentage of the amount of credit you recover. The more we get back for you, the more we get paid. This works out for our mutual benefit.
Typically, we recover 100% or more than what our competitors would pull in. In a sense, our services pay for themselves.
When do ERC Funds run out?
We don’t know the exact date. What we do know is the IRS is processing requests as they receive them. This means you should get your amended returns in as soon as possible. Let SUNRISE do the work for you.
How do I get started claiming ERC Money for my business?
Here is how New York businesses file for ERC:
- You contact SUNRISE Business Solutions for a free assessment. We only need 6 minutes to tell you if you qualify for ERC credit.
- To claim, you report your qualified wages on your amended quarterly employment tax returns, which is Form 941x. We will do all the work for you—documenting eligibility and qualified wages and calculating the amount of your credit.
What if our business was an “essential business” and not subject to a closure order?
You can STILL qualify for employee retention credit in New York.
- Did a key vendor slow down production or offer fewer services?
- Did you struggle to obtain necessary supplies, materials, products, or inputs?
- Were you unable to meet with clients in-person as you normally would?
- Did you have to take temperature checks, reduce hours, shift employees, or deep clean your offices?
If you answered YES to any of these questions, your essential business will qualify.
Do self-employed people qualify for ERC?
It depends. You can’t qualify if you own more than 50% of your business (majority ownership). You also can’t use your immediate family’s W2 wages if you are a majority owner of the business.
If you aren’t a majority business owner, then you can count both your W2 wages and your immediate family’s wages for purposes of ERC tax credits.
Confused? Contact SUNRISE business solutions to confirm whether you are eligible for this refundable tax credit.
Can a large employer apply for ERTC?
Yes. However, the amount of wages you can use will be limited if you qualify as a large employer:
- 2020: large employers have more than 100 full-time equivalent employees
- 2021: large employers have 500 FTE employees
Even if you get only a reduced amount of ERTC, it still makes sense to apply. We have seen many large businesses receive a substantial refund check from the IRS—and it only takes minutes to apply with us. Call Sunrise Business Solutions | ERC Guaranteed Now and get Maximum ERC credit for all 6 quarters.