This post is a follow-up to my December 18 post on available Federal funding. Additional information on the Employee Retention Credit (ERC) useful to UU congregations can be found at recent Internet articles posted by Paychex and Church Law & Tax. Both provide context and background on the ERC, guidance about the eligibility criteria, information on the differences for 2020 vs. 2021, and links to IRS notices.
The Paychex article was just published and provides the most recent information. While the Church Law & Tax post is not quite as current (updated on August 6, 2021), it focuses on churches. I call your attention especially to a section titled, ” Observations for churches, schools, and other organizations subject to mandatory suspension of group meetings.” This section will help you assess whether your congregation might qualify for the ERC under the first Eligibility Factor. It also has helpful examples about eligibility and calculating the credit amounts for different time periods.
Check out this additional guidance as you consider whether the ERC can work for your congregation. I also encourage you to do your own research and consult with available experts such as your payroll provider, accountant, or bookkeeper.
Stewardship Consultant Barry Finkelstein has been a Unitarian Universalist congregational stewardship consultant since the Fall of 2007 and has worked with over 50 congregations on annual budget drives, capital campaigns, and strategic planning. Reach Barry at Team@stewardshipforus.com