Fort Smith Regional Chamber Of Commerce: Landmark: IRS Issues Guidance On The Retroactive Termination Of The Employee Retention Credit

Fort Smith AR

10 December, 2021

4:23 PM

Description

Press release from the Fort Smith Regional Chamber of Commerce: December 09, 2021 The new Infrastructure Investment and Jobs Act that was recently passed retroactively changed the end date for the ERC credit to October 1. The new Infrastructure Investment and Jobs Act that was recently passed retroactively changed the end date for the ERC credit to October 1. The Internal Revenue Service has issued guidance for employers regarding the retroactive termination of the Employee Retention Credit. The new Infrastructure Investment and Jobs Act that was recently passed retroactively changed the end date for the ERC credit to October 1. Businesses that received advanced payments via Form 7200 for the fourth quarter can avoid penalties if they simply repay them by the time their tax returns are due (e.g. Form 941). For employers that reduced deposits expecting to claim the credit in that quarter, the IRS will waive penalties if the business followed rules to claim the credit, deposited the amounts they retained and report how much they owe the IRS in the fourth quarter. Businesses have only two weeks to follow those rules before penalties kick in. Failure to deposit payroll taxes by December 20 will incur penalties. Businesses have only two weeks to follow those rules before penalties kick in. Failure to deposit payroll taxes by December 20 will incur penalties. IRS Guidance on ERC IRS Guidance on ERC IRS Guidance on ERC IRS Guidance on ERC Landmark CPAs, 3101 South 70th Street, Fort Smith, Arkansas 72903, United States, 479.484.5740 This press release was produced by the Fort Smith Regional Chamber of Commerce. The views expressed here are the author's own.