Tax Credit

Founder and CEO Introduces Black-Owned Businesses to the Employee Retention Tax Credit Program

Entrepreneurship Featured

Meet Debra Thomas, founder and CEO of Debudd Marketing, which is currently helping thousands of Black-owned businesses to better understand and take advantage of the Employee Retention Tax Credit (ERTC) Program.

Black businesses have suffered irreparable harm due to the ongoing pandemic. Sadly, many of these businesses were shut out of the Paycheck Protection Program (PPP) loans and had to close permanently.

Not surprisingly, Black-owned small businesses were unable to access the government’s emergency PPP loans. The CARES Act had a second round of funding in 2020 which had $60 billion set aside for minorities and underserved borrowers.

Funds were depleted in record time as well-resourced companies, with the help of their bankers, muscled their way to the front of the line, at the expense of smaller more vulnerable businesses. Black-owned businesses received 1.9% of loans while White-owned businesses received 83%.

Although it is not well-publicized, the IRS has recently begun accepting applications for The Coronavirus Aid, Relief, and Economic Security Act (CARES Act) Employee Retention Tax Credit (ERTC) program which is earmarked for small businesses. Businesses that applied for and received PPP funds could now also claim ERTC credits.

The ERTC refunds a percentage of wages paid in each quarter that a business has qualified. ERTC credits are NOT a deferral. The credits are paid in the form of a check. THIS IS NOT A LOAN!

Credits are available to business entities, non-profits and start-ups. Any business structure with five W-2 full-time employees in 2020-2021 can potentially qualify. Businesses forced to temporarily or permanently close during this window of time qualify.

Businesses can claim their tax credit as they would any other tax credit by asserting to the IRS that they can legally claim the credit. When they apply, their CPA and accountant will have the required documentation.

The IRS is a slow paymaster. It is important to submit ALL of the required documents at one time to receive a refund.

It was initially estimated that ERTC funds would be available for three years. The current estimate for fund availability is 18 months.

Visit DebuddMarketing.com to complete the free, no obligation pre-qualification form.

[SOURCE]

Author: Staff Writer

Black and in Business Team contributes insight to the intellectual capital of its readers.

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Black and in Business Team contributes insight to the intellectual capital of its readers.
http://www.BlackandinBusiness.com

891 thoughts on “Founder and CEO Introduces Black-Owned Businesses to the Employee Retention Tax Credit Program

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