ERC and other tax credits every small business should know about - San Francisco Business Times

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From the ERC and the Work Opportunity Tax Credit to new EV credits and more, here are the tax credits every business owner needs to know about

Proponents say it encourages employers to report tip income, which improves overall tax compliance and ensures future Social Security benefits for tipped workers. But opponents say the tip credit has not done that and is unfair because it is not available to other workers beyond the food and beverage service sectors.Some restaurants claim it and some don’t, surprisingly," Johnson said."It's probably a lack of awareness and understanding that it's available to them.

Businesses that took the SBA’s Paycheck Protection Program also still qualify, with their PPP amount being deducted from what they would get from the credit, which is still a significant amount for many businesses owners. Meanwhile, the IRS received a boost in funding to add more enforcement agents, and Johnson said the ERC remains a compelling target.One has to believe that they're going to be focused on this for the next several years," Johnson said, adding there is a five-year window in which the IRS can take a look at ERC claims. But he stressed that time will start to run out on claiming the full credit.

 

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