Are Construction Industry Employers Eligible for Employee Retention Credit (ERC)?

Key Takeaways

• Most construction industry employers are eligible for the Employee Retention Credit (ERC).

• The ERC provides significant financial relief for businesses that kept employees on payroll during the pandemic.

• Even if you’ve received a Paycheck Protection Program (PPP) loan, you may still qualify for the ERC.

• Understanding the specific criteria and common misconceptions is crucial to claiming your rightful credit.

• Expert guidance can help maximize your ERC benefits and navigate the complexities of eligibility.

Are Construction Industry Employers Eligible for ERC Refund

Construction industry employers, let’s dive straight into the Employee Retention Credit (ERC) and its potential for your business. The pandemic has posed unprecedented challenges, but the ERC stands as a beacon of financial relief, aiming to keep your workforce strong and intact.

Eligibility hinges on two main factors: a significant revenue drop or compliance with government-imposed restrictions. For construction businesses, this could translate to up to $5,000 per employee in 2020 and up to $7,000 per employee per quarter in 2021, marking a substantial support for maintaining your team.

Consider whether your construction business has encountered:

• Shut down orders

• Quarantine protocols

• Job cancellations

• Capacity limitations on jobsites

• Physical distancing requirements

• Temperature checks

• Time off for employees to get vaccinated

• Pre-access jobsite questionnaires

• Enhanced sanitation procedures

• Installation of ventilation systems

• Burdensome PPE requirements

• Adjusted safety/work procedures

• Increased trainings

• Transition to remote work for some employees

These challenges, while daunting, could position your construction business to benefit from the ERC, ensuring you leverage every possible support during these trying times. This credit isn’t just about survival; it’s about fostering resilience and growth in the construction industry.

Common Misconceptions about ERC Refund for Construction Industry Employers

Despite the clear advantages of the ERC, many construction employers haven’t claimed their rightful credit. Why? Misconceptions and lack of information. Let’s debunk a few myths and set the record straight.

1. If I received a PPP loan, I can’t claim the ERC: False! While initially, you couldn’t double-dip, the rules have evolved. Now, you can benefit from both, just not on the same dollar of wages.

2. My business didn’t face a shutdown, so I don’t qualify: Not necessarily true! A significant decline in gross receipts compared to the same quarter in 2019 could make you eligible.

3. The ERC is only for small businesses: Incorrect. While there are different rules for businesses with more than 100 employees (in 2020) or more than 500 employees (in 2021), larger businesses can still claim the credit.

These are just a few examples of the misconceptions out there. The reality is that the ERC is more accessible than many employers realize, but it takes a keen understanding of the details to fully leverage its benefits.

How ERTC Express Help Construction Industry Employers Maximize ERC Benefits

Navigating the complexities of the ERC is challenging, but at ERTC Express, we provide a streamlined path for construction industry employers to fully benefit from this tax credit. Specializing in supporting the construction sector, we at ERTC Express simplify the application process, ensuring your business secures the maximum possible benefit with ease, cutting through the intricacies of tax laws without hassle.

Step-By-Step Guide: How ERTC Express Helps Construction Industry Employers Maximize ERC Benefits

At ERTC Express, we specialize in helping construction industry employers like yours navigate and maximize the Employee Retention Credit (ERC) benefits, ensuring you don’t miss out on any financial relief opportunities. Here’s how our tailored process works for you:

Step 1: ELIGIBILITY
Initially, we at ERTC Express begin by assessing whether your construction business qualifies for the ERC. We carefully examine the pandemic’s impact on your operations, focusing on any full or partial suspensions due to government orders, or significant declines in gross receipts during 2020 or 2021 compared to the same quarters in 2019. Our team of Account Executives is here to guide you through the entire application process, ensuring all necessary documentation is gathered for submission and answering any questions you might have along the way.

Step 2: PROCESSING
After determining your eligibility, our team of CPAs and Customer Success Agents starts processing your claim immediately. To reduce the risk of an audit and ensure your claim’s defensibility, we implement our Power of 3 system. This unique approach involves the collaboration of three separate CPA teams to agree on the final credit amount before submitting your claim. This meticulous calculation ensures that all qualifying wages, including salaries, wages, and health insurance costs paid to employees, are accurately accounted for, maximizing your eligible credit.

Step 3: RECEIVE YOUR FUNDS
The final step in our streamlined process is when you receive your funds—a moment we work diligently towards. You will only be billed for our services after the funds have been disbursed, aligning our success directly with yours. Throughout this process, should any follow-up inquiries or audits arise from the IRS, we stand ready to support and defend your claim, providing peace of mind and ensuring compliance every step of the way.

By choosing ERTC Express for your ERC claim, you’re not just ensuring that you receive every dollar you’re entitled to; you’re also gaining a partner committed to the financial wellbeing of your construction business. Our expert guidance and support streamline the ERC claiming process, allowing you to focus on what you do best—building and growing your construction business. Reach out to us today, and let’s maximize the ERC benefits for your company together.

Get Maximum Construction Industry Refund with ERTC Express to Get Maximum Construction Industry ERC Refund with ERTC Express

Navigating the complexities of the Employee Retention Credit (ERC) is crucial for construction industry employers aiming for financial stability in these challenging times. ERTC Express is here to guide you through each step, ensuring you leverage the full benefits of the ERC for your business. Our process is designed to provide clarity and confidence, maximizing your refund with precision and care.

Why Construction Industry Employers Trust ERTC Express:

• IRS Compliance: Our dedicated efforts to meet all IRS regulations guarantee the highest level of compliance for your ERC claim.

• Trusted by the AICPA: Being trusted by the American Institute of Certified Public Accountants (AICPA) affirms our commitment to excellence and professional standards.

• U.S.-Based CPAs: Our team of U.S.-based CPAs has the specialized expertise necessary for handling complex ERTC filings, ensuring you receive top-tier assistance.

• Power of Three – Audit Defense: Our audit defense strategy involves three CPA teams verifying your claim’s final credit amount before submission, enhancing your claim’s defensibility.

• Refund Maximization: We are committed to ensuring you receive the full refund you deserve, with strategies that often exceed those provided by large payroll and software companies by 40-120%.

By choosing ERTC Express, you’re not just securing an essential financial safeguard for your construction business; you’re partnering with a team that brings clarity to the ERC process, allowing you to focus on your core business and workforce. Our goal is to protect your business continuity and provide the support you need to navigate these turbulent times effectively. Reach out to ERTC Express today, and take a significant step towards maximizing your construction company’s ERC benefits.

Frequently Asked Questions (FAQ)

As you consider the ERC for your construction business, you likely have questions. Here are answers to some of the most frequently asked questions to further guide you:

What is the maximum amount a construction industry employer can claim per employee through ERC?

For the 2020 tax year, the maximum ERC amount you can claim is $5,000 per employee for the entire year. For 2021, the stakes are even higher. You can claim up to $7,000 per employee for each eligible quarter. That means you could potentially claim up to $28,000 per employee for 2021.

What determines ERC eligibility for construction employers?

Eligibility is based on demonstrating that construction operations were limited by government orders or showing a considerable drop in gross receipts relative to 2019.

How do construction employers calculate their eligible ERC amount?

The calculation involves determining the qualified wages paid to employees during the affected quarters, adhering to the set limits for the credit per employee.

Are all types of construction businesses, including subcontractors, eligible for the ERC?

Yes, all types of construction businesses, from general contractors to subcontractors, are eligible if they meet the criteria for government restrictions or revenue losses.

What documentation is needed for construction employers to apply for the ERC?

They need to document any government restrictions impacting operations, maintain payroll records of qualified wages, and provide proof of reduced gross receipts.