The IRS has rolled out an Employee Retention Tax Credit for businesses that are experiencing remarkable revenue loss due to COVID-19. This provision is also available for closed or partially closed businesses.
Businesses that receive 50% revenue in a quarter as compared to the same quarter in 2019. Businesses that have participated in the Paycheck Protection Plan (PPP) are not eligible. The credit applies to wages paid between March 1, 2020 thru January 1, 2021. It does not cover sick pay or family leave reimbursable via Families First Coronavirus Response Act.
For questions pertaining to the credit and your eligibility, contact the IRS.