ERC for Non-Profits

IRSplus Helps Non-Profits Maximize their Employee Retention Credit (ERC)—Guaranteed

The COVID-19 pandemic and resulting government restrictions had a major impact on the non-profit industry. As part of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), non-profits that kept employees on payroll during 2020 and 2021 can qualify for a tax refund through the Employee Retention Credit (ERC). The ERC could be 3 to 7 times as much as the PPP.

At IRSplus, we specialize in helping clients obtain the maximum ERC. Non-profit organizations can qualify for the ERC. We have extensive experience working with non-profits nationwide. If you have any specific questions about the ERC, our team is more than ready to help. Call us now or connect with us online to set up a confidential appointment with an ERC specialist.

What Non-Profit Entities Should Know About the Employee Retention Credit (ERC)

The Employee Retention Credit is a fully refundable tax credit that is available to eligible employers who retained their employees and paid them wages during the COVID-19 pandemic. It covers six quarters in total—the final three quarters of 2020 and the first three quarters of 2021. You can file for ERC benefits for all qualifying employees. The tax refund can be truly substantial. There is a maximum benefit of $26,000 per employee available through the ERC.

You do not have to own and operate a for-profit business to apply for the ERC. The tax credit is available for non-profit employers. Indeed, the definition of a “qualified organization” for purposes of the ERC is extremely broad. The Internal Revenue Service (IRS) has indicated that virtually any 501(c)(3) entity—including hospitals, health clinics, soup kitchens, food pantries, homeless shelters, and many other organizations— can qualify to claim the ERC.

Qualifying for the ERC as a Non-Profit Organization

Building, growing, and managing a non-profit organization is not easy. The COVID-19 pandemic and related government shutdowns posed serious challenges for many non-profits throughout the United States. According to the National Council of Nonprofits, 75 percent of non-profit managers surveyed in one study reported that their organization had to make budget cuts at some point during the COVID-19 pandemic. The ERC offers an important benefit. You may have questions about how to qualify for the ERC as a non-profit organization. Here are two ways non-profits can qualify:

• A non-profit organization was subject to a full or partial suspension based on a government order restriction causing a partial suspension such as below.
• A non-profit organization suffered a major revenue decline during the pandemic.

Virtually Every Non-Profit Organization Can Qualify On the Basis of a Government Shutdown

It is important to emphasize that virtually every non-profit entity in the United States can qualify for the Employee Retention Credit (ERC) on the basis of a full or partial government shutdown. To be clear, non-profits do not need to prove any revenue loss for any quarter to qualify for an ERC tax refund. A partial government shutdown is sufficient. Examples of government shutdown orders that affected nonprofits include:

• Additional cleaning requirements or sanitization requirements;
• Social distancing regulations and capacity limitations;
• Outright government shutdowns, including work-from-home rules; and
• Supply chain disruptions.

IRSplus works with not-for-profit organizations nationwide. We have access to all of the federal, state, and local government orders that non-profits will need to establish their eligibility for the Employee Retention Credit (ERC).

Non-Profit Organizations Can Still File for the ERC for Both 2020 and 2021

As noted previously, the ERC is available for six quarters in total. It is available for the final three quarters of 2020 and the first three quarters of 2021. You may be wondering if you have already missed your chance to claim the ERC tax refund. The good news is that there is still time to take action. Non-profit organizations can still seek an ERC tax refund for all six quarters.

Under federal law, there is a three-year “lookback” provision for this type of tax filing. Put another way, this means that businesses and nonprofit organizations have three years from the date of their tax filing to submit an amended return. Your nonprofit organization can file an amended return for both 2020 and 2021 to claim the full ERC. Our ERC specialists for non-profits can help.

Why IRSplus Makes the Difference for Non-Profit Organizations

IRSplus focuses exclusively on the Employee Retention Credit. We devote all of our time and energy into helping businesses and organizations nationwide secure the maximum ERC refund. Our team has extensive experience working with the full range of non-profit entities. We always take a proactive and results-focused approach. More specifically, the ERC specialists at IRSplus offer non-profits:

• A No Cost, Thorough Assessment of Your Tax Credit: No matter the nature of your non-profit organization, we are prepared to conduct a free and comprehensive review of your ERC tax credit eligibility.
• Proprietary Calculation of Your Employee Retention Credit: Calculating the ERC is complicated. We have a proprietary method that we will use to calculate your Employee Retention Credit for all six quarters.
• Assistance With All Sections of Your ERC Application: You do not have to worry about the paperwork. We handle every section of the ERC application, including filing an amended 941-X form with the Internal Revenue Service (IRS).
• The Facilitation of Your Tax Refund Check(s) (Up to Six): We help non-for-profit organizations get their ERC benefits faster. By filing much faster than others, our team will help you get your ERC refund faster. It is a maximum of six checks, one for each qualifying quarter.

We Help Non-Profits Secure the Employee Retention Credit Nationwide

At IRSplus, our ERC specialists have the professional expertise that you can rely on. If you have any specific questions or concerns about applying for the ERC as a not-for-profit entity, our team can help. Give us a call now at 1-888-210-8870 or contact us online to set up a confidential appointment. We help non-profit organizations secure the ERC nationwide.