Category: SimplerTraffic

Does Arkansas Tax ERC Federal Credit? Key Takeaways Arkansas follows federal guidelines, so the Employee Retention Credit (ERC) is not considered taxable income at the state level. You still get the normal tax deduction for employee wages, even if those wages qualify you for the ERC (for both Arkansas and federal taxes). Employers in Arkansas… Continue reading Does Arkansas Tax The ERC Federal Credit?

Does Arizona Tax ERC Federal Credit? Key Takeaways Arizona does not tax the federal Employee Retention Credit (ERC), so businesses won’t need to pay additional state taxes on wages paid with the credit. While the ERC isn’t taxed, it can influence other areas like taxable profits and the Transaction Privilege Tax (TPT). Businesses have until… Continue reading Does Arizona Tax The ERC Federal Credit?

Does Florida Tax ERC Federal Credit? Key Takeaways Florida does not tax the Employee Retention Credit (ERC) because it is a federal tax credit and does not result in a state tax obligation. To qualify for the ERC, businesses must have experienced a full or partial suspension of operations or a significant decline in revenue… Continue reading Does Florida Tax The ERC Federal Credit?

Does Delaware Tax ERC Federal Credit? Key Takeaways The ERC is considered taxable income at the state level in Delaware, and businesses must report it when filing state taxes. Eligible employers may still claim the ERC retroactively by filing amended returns for 2020 and 2021, with deadlines of April 15, 2024, and April 15, 2025,… Continue reading Does Delaware Tax The ERC Federal Credit?

Does Illinois Tax ERC Federal Credit? Key Takeaways The Employee Retention Credit (ERC) is a refundable tax credit for businesses affected by COVID-19. Illinois does not tax the ERC at the state level, aligning with federal guidelines. Corporate taxpayers in Illinois must reduce wage deductions by the amount of the ERC. At ERTC Express, we… Continue reading Does Illinois Tax ERC Federal Credit?

Does Idaho Tax ERC Federal Credit? Key Takeaways The Employee Retention Credit (ERC) is a refundable tax credit aimed at helping businesses keep employees on their payroll during challenging economic times. Idaho does not tax the ERC as income. Claiming the ERC will affect payroll tax deductions, which should be adjusted accordingly on Idaho state… Continue reading Does Idaho Tax ERC Federal Credit?

Does Hawaii Tax ERC Federal Credit? Key Takeaways The Employee Retention Credit (ERC) is a refundable tax credit designed to help businesses retain employees during the COVID-19 pandemic. Businesses in Hawaii are eligible for ERC if they meet specific criteria, including experiencing a significant decline in gross receipts or being subject to a government shutdown… Continue reading Does Hawaii Tax ERC Federal Credit?

Does Connecticut Tax ERC Federal Credit? Key Takeaways Businesses can qualify for the ERC if they experienced a significant decline in gross receipts or a full/partial suspension of operations due to government mandates during 2020 and 2021. Employers can claim the ERC retroactively by filing IRS Form 941-X, with deadlines of April 15, 2024, for… Continue reading Does Connecticut Tax ERC Federal Credit?

Does Colorado Tax ERC Federal Credit? Key Takeaways Businesses that experienced significant revenue declines or operational suspensions due to COVID-19 are eligible to claim the ERC, with potential credits of up to $28,000 per employee for 2021. Businesses can retroactively claim the ERC by filing amended payroll tax returns, with deadlines of April 15, 2024,… Continue reading Does Colorado Tax ERC Federal Credit?

Does Alaska Tax ERC Federal Credit? Key Takeaways The Employee Retention Credit (ERC) is a federal tax credit that helps businesses retain employees during economic challenges. Alaska does not follow federal ERC tax rules, so state-level treatment may differ. At ERTC Express, we can help you to claim ERC for your business in Alaska.   … Continue reading Does Alaska Tax The ERC Federal Credit?