Dominion Enterprise Services, a full-service CPA firm with over 50 years of collective experience, recently announced the launch of its Employee Retention Tax Credit (ERC) Division. The highly specialized group is dedicated to helping construction companies assess their eligibility for the ERC and properly secure the maximum refund allowed. As ERC experts, Dominion has developed proprietary automation and other efficiencies that allow the firm, alongside careful oversight by Dominion’s CPA partners, to process credits both quickly and accurately.
The Employee Retention Credit is a refundable tax credit that was created during the pandemic for
employers who experienced difficulties in 2020 and 2021 as a result of COVID shutdown orders and
related economic disruptions. Dominion wants to ensure that companies take advantage of this little-known tax credit because they may be eligible for up to $26,000 per employee. Even if businesses
applied for and received PPP loans, they can still qualify for the ERC. In fact, unlike the PPP assistance
that had a limited fund pool, any company that qualifies for the ERC is legally entitled to that money.
Operations disruptions and revenue declines were so common during the pandemic that many construction company owners are unaware that their business qualifies for the employee retention credit. Due to rule changes with the Payroll Protection Program, most businesses can qualify for up to $26,000 per employee.
One of the reasons that so many businesses are unaware of the credit is that it's a payroll tax credit, not an income tax credit. As a result, a lot of CPAs aren’t pursuing it because it's a one-time separate program and they haven’t familiarized themselves with it. “It’s a perfect storm where the businesses’ payroll company thinks that the CPA will handle it, while the CPA thinks that the payroll company is going to handle it,” said Catherine Tindall, Partner and CPA, Dominion Enterprise Services. ”In reality, nobody's handling it, and hundreds of thousands of dollars or more are being left on the table.”
“From what I've found in my work to date, if a construction company received PPP, they're likely to qualify for ERC. The potential upside of such a large credit makes it well worth looking into, and since this credit will be phasing out in April 2023, there is a limited window to file a claim,” continued Tindall. “If you’re unsure of your eligibility, make sure you find out because you could have a winning lottery ticket in your pocket that you’re not cashing in.”
About Dominion Enterprise Services
Dominion Enterprise services (DES) is a full-service CPA firm providing tax planning and consulting alongside specialty tax credit processing. By combining the expertise of their consulting practice with the proprietary software automation they have developed, DES is able to process tax credits like the Employee Retention Credit both quickly and accurately. Visit dominiones.com for more information.