Employee Retention Credit: Explained

To be eligible, your business must have experienced negative impacts in either of the following manners:

A government authority mandated a partial or complete shutdown of your business during 2020 or 2021. This encompasses limitations on your operations due to trade, travel restrictions, or group meeting constraints.

The criteria for gross receipt reduction varies for 2020 and 2021 but is assessed based on the current quarter's comparison to pre-COVID 2019 amounts.

It's important to note that a business might qualify for the credit in one quarter but not in another.

Initially, according to the CARES Act of 2020, businesses were disqualified from the ERC if they had already received a Paycheck Protection Program (PPP) loan. However, with subsequent legislation in 2021, employers are now eligible for both programs.

The Employee Retention Credit (ERC) initiative encompasses qualifying wages disbursed to W-2 employees between March 13th, 2020, and September 30th, 2021, for employers meeting the eligibility criteria.

The cutoff date to apply for the ERC, covering qualifying quarters in 2020, is April 15, 2024. For qualifying quarters in 2021, the application deadline is April 15, 2025.

The Employee Retention Credit (ERC) will be disbursed as a cash refund, delivered to you via mail by the IRS. These refund checks correspond to qualifying quarters. You might receive multiple checks, with each quarter's credit being processed separately. It's worth noting that the IRS retains the option to apply these funds as a credit toward any outstanding back taxes.

Yes, Hawk Tax Solutions does offer tax review meetings to help clients understand their current tax returns and how they compare to previous years.

During a tax review meeting, our tax professional will go over your tax return line by line to ensure that all information is accurate and complete, and may also compare the current tax return to previous years' returns to identify any trends or changes.

Tax review meetings are a useful tool for individuals and businesses to understand their tax situation and identify opportunities for tax planning or to make informed business decisions.

Yes, we are able help you if you have questions or doubts about your previous year's tax return and believe you may have missed out on certain deductions. 

We are a team of tax professionals who are knowledgeable about tax laws and regulations and are able to provide a range of services to individuals and businesses, including assistance with preparing and filing amended tax returns.

Yes to both! Hawk Tax Solutions gladly provides our clients the opportunity to meet in-person or virtually. All meetings need to be scheduled through our Tax Client Coordinator. 

Tax Organizers and Engagement Letters are available to access and sign via our Hawk Tax Solutions website under the heading Tax Resources - Forms/Documents. 

All other client requested signatures (Ex. Tax Return Signature Page 8879, Power of Attorney 2848, etc.) will be available to sign through your dedicated client portal page.

Hawk Tax Solutions provides a secure cloud-based client portal for all of our clients. We'll ask that you upload your documents to our secure client portal as this creates indispensable efficiencies in perparing your tax returns. All of your tax documents, tax returns and finaicals will be saved in the secure portal, allowing for easy access in the future. 

Yes, although Hawk Tax Solutions works with a secure cloud-based portal, which is the most efficient way to submit documents. If you don't have a scanner we can help you figure out how to digitze your documents. This process allows for all documents and tax returns to be saved securely and accessed in the future. If you need to drop off paper documents to our office an appointment to do so is required.

At Hawk Tax Solutions our team of tax professionals aim to help you save money on your tax return by identifying deductions and credits that you are eligible for and by ensuring that your tax return is accurate and complete. 

We can also help you to understand the tax laws and how they apply to your specific situation, which may help you to make tax-saving decisions throughout the year. 

Additionally, we may be able to negotiate with the Internal Revenue Service (IRS) on your behalf if you have any issues with your tax return or if you owe money to the IRS.

It's important to keep in mind that the ability to save money on your tax return will depend on your individual circumstances, and is the reason that we ask that you fill out our comprehensive tax organizers so that we can identify any/all opportunities for you.

While we are a team of tax professionals trained to navigate the complex world of tax, we also understand the value in simple, effective communication. We make every effort to explain your tax options in the most uncomplicated ways so that you can focus on making the best decision.

Hawk Tax Solutions has hired a diverse range of tax and accounting experts that have worked with many other states in the USA and we even service companies outside of the USA. You can be certain our team can service clients from ANYWHERE. 

We understand our clients want to know they are working with someone that understands their unique state and local tax issues and our team of experts will ensure you are receiving the thorough attention you deserve.