ERC Advance Funding, in collaboration with StenTam, a tech-enabled specialty tax firm, with a focus on the Employee Retention Credit program, created a funding program for companies that are awaiting proceeds from the IRS.
Recommended: HRTech Interview With Ryan Packer, Chief Technology Officer At BambooHR
The Employee Retention Credit is a refundable payroll tax credit filed against employment taxes. The credit was introduced with the Coronavirus Aid, Relief and Economic Security Act in 2020 during the COVID-19 pandemic to help businesses recover from the economic fallout that occurred. It provides funding to businesses to make up for some revenue lost during the pandemic.
Due to the success of the ERC program, the IRS has been challenged with meeting the high demand and is experiencing a backlog of 900,000 claims resulting in a six to 12 month wait to receive funds. The funding program can advance businesses their funds after filing their amended return.
“The launch of the ERC Advance Funding program allows businesses to put dollars to work right away,” said Matt Harley, president of ERC Advance Funding. “Many businesses are looking to recruit and retain labor, invest in their business, pay off debt – the list goes on – and with the assistance of our program, they can do that.”
Recommended: HR Tech Interview With Yew Hwee Ng, SVP Asia At Zendesk
The ERC Advance Funding program is available for those who have already filed for their tax credit and business owners who are planning to file. Those pursuing pandemic credit can opt for advanced funding from ERC Advance Funding and the team will work with the business directly. The program will advance funds to businesses who filed with providers outside of StenTam as well.
“We have had the opportunity to file claims on behalf of our clients all around the country and we’re aware that the IRS is doing its absolute best to disperse money to each and every business waiting,” said Eric Stenson, CEO of StenTam. “As we partner with our sister company, we’re able to assist with funding in the meantime and help businesses put these dollars to work.”
StenTam has helped companies nationwide secure ERC payments. If an employer continued to pay employees, had to suspend operations due to government orders, or had a significant decline in gross receipts in the eligible program time frame, they may be eligible to claim ERC.
HR Technology News : HR Technology Highlights – HR Tech Daily Round-Up For 30th June 2023