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  • D.P. Conway

How to Profit as an ERC Referral Partner



After the containment measures were put in place by government authorities, man businesses suffered significantly in terms of returns on investments and profits. Nonetheless, some of the business kept their employees on pay, while others closed operations following the directives from the government.


Consequently, the ERC or the Employee Retention Credit, was instantiated. This credit is essentially a refundable tax credit meant for organizations and companies with five or more W-2 employees. One of the qualifying criteria for this fund is whether your business and operations were disrupted by government directives or if there was a decrease in quarter-over-quarter revenue of at least 50% between 2019 and 2021.


Although the qualifying criteria is quite straightforward, following through with the application process is quite tedious and might be time consuming. There is some of urgency for organizations to recover this credit because the IRS only provides a limited duration to file amended refunds. The current rules estimate the expiry date for the ERC to be in August 2024.


What is the limit on what a business can recover?


When obtaining an ERC refund, there is usually no limit on the amount that you can recover. There are also no restrictions on how you should use the money. However, this credit is only available and can be claimed by organizations with between five and 500 W-2 full-time employees.


The provision is that organizations can claim up to 26 000 USD per employee. Though most of the time only about 10 000 USD is given per employee if there was a PPP loan.


Becoming an ERC referral partner


Becoming an ERC referral partner does not require any financial input or additional training from our end because we have specialists who can handle all the work for you and on your behalf. Our ERC referral program allows you to introduce another interested employer to us and in return, we will give you a percentage of the amount we receive in earnings as your commission. The more the people you refer for our services, the more you can earn in commissions.


Conclusion


There is a lot of money to be claimed in the ERC refundable tax program. The amount is currently capped at 26 000 USD per employee but most employers only receive about 10 000 per employee. Working with a reputable consultancy with a solid ERC affiliate program can help you achieve your refund goals and make you earn commissions through referrals.

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