The Employee Retention Credit (ERC) is a refundable credit that companies can request on qualifying salaries, including certain health insurance costs, paid to employees. This credit was authorized under the CARES Act and encourages businesses to keep their employees on the payroll. We work with companies across the country to help them maximize their Employee Retention Credit (ERC).Employers who use a Professional Employers Organization (PEO) or a Certified Professional Employer Organization (CPEO) do not file an individual 941 on their behalf, so it's important to understand how they would reconcile this information and receive credit. To apply for credit for previous quarters, employers must file Form 941-X, Employer's Adjusted Quarterly Federal Tax Return or Request for Refund, for the applicable quarters in which qualifying wages were paid. This form is used to report any adjustments to wages and taxes reported on Form 941. The cost of filing Form 941-X will depend on the complexity of the filing.
Generally, it will cost between $50 and $100 per quarter. However, if you are filing multiple forms or have complex filings, the cost may be higher. Additionally, if you are filing for multiple quarters, you may be able to save money by filing all of your forms at once. It is important to note that the cost of filing Form 941-X does not include any fees associated with professional tax preparation services. If you are using a professional tax preparer, they may charge additional fees for their services. Filing Form 941-X can be a complicated process and it is important to make sure that all of your information is accurate.
If you are unsure about how to file or have any questions about the process, it is best to consult with a tax professional who can help you navigate the process.