Alert Note that the Taxpayer Certainty and Disaster Tax Relief Act of 2020, enacted December 27, 2020, amended and extended the employee retention credit (and the availability of certain advance payments of the tax credits) under section 2301 of the CARES Act. These FAQs do not currently reflect the changes made by the Taxpayer Certainty and Disaster Tax Relief Act of 2020; however, please continue to check back on this page for any updates related to the change in law. The Employee Retention Credit under the CARES Act encourages businesses to keep employees on their payroll. The refundable tax credit is 50% of up to $10,000 in wages paid by an eligible employer whose business has been financially impacted by COVID-19. Frequently Asked Questions General Information Determining Which Employers are Eligible to Claim the Employee Retention Credit Determining Which Entities are Considered a Single Employer Under the Aggregation Rules Determining What Types of Governmental Orders Related to COVID-19 May be Taken into Account for Purposes of the Employee Retention Credit Determining When an Employer’s Trade or Business Operations are Considered to be Fully or Partially Suspended Due to a Governmental Order Determining When an Employer is Considered to have a Significant Decline in Gross Receipts Determining the Maximum Amount of an Eligible Employer’s Employee Retention Credit Determining Qualified Wages Determining the Amount of Allocable Qualified Health Plan Expenses How to Claim the Employee Retention Credit Interaction with Other Credit and Relief Provisions Special Issues for Employees: Income and Deduction Special Issues for Employers: Income and Deduction Special Issues for Employers: Use of Third Party Payers Other Issues Where can I get more information? Employee Retention Credit Coronavirus Tax Relief New Employer Tax Credits Department of Labor's COVID-19 and the American Workplace Small Business Administration’s Paycheck Protection Program
