Reply To: Is the Employee Retention Credit (ERC) considered taxable income for businesses?

Home Forums Members Only Is the Employee Retention Credit (ERC) considered taxable income for businesses? Reply To: Is the Employee Retention Credit (ERC) considered taxable income for businesses?

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dans36934
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The Employee Retention Credit (ERC) is not taxable revenue for enterprises. Businesses can use the ERC as a tax credit to reduce their payroll tax obligations. It is intended to offer monetary relief and assistance to businesses during trying times like the COVID-19 epidemic. The credit is not required to be declared taxable income on the business’ tax return. Still, it immediately lowers the amount of payroll taxes that are payable by the company.