ERC for Art Galleries
Art Galleries have the opportunity to access cash relief through the Employee Retention Credit (ERC)
Art galleries suffered greatly during the pandemic, facing closures and limited capacities, social distancing rules and travel restrictions that affected their sales. Many art galleries, including non-profit ones, are unaware that they are eligible for the Employee Retention Credit (ERC), a refundable employee payroll tax credit that offers a significant cash relief opportunity.
The Employee Retention Credit (ERC) presents a significant opportunity for relief to businesses affected by the COVID-19 pandemic, with the potential for up to $26,000 per employee during the years 2020 and 2021. Eligibility for the ERC can be determined by actual closures, restrictions imposed by government orders, or by demonstrating a reduction in gross receipts of 50% or a 20% decline in gross receipts for specific quarters in 2020 and 2021, compared to the same quarters in 2019. It is important to note that the ERC can still be accessed even if a business has already received PPP loans, and newly established businesses after February 2020 may qualify for up to $100,000 in refundable credits in 2021 under specific ERC provisions.
While it's unclear if Congress will extend other pandemic relief for art galleries, the ERC remains available now. The government restrictions have impacted various business operations in the industry and you could be one of the many employers entitled to significant cash benefits. Don't miss out on the opportunity to see if you qualify for the ERC. Contact us today!
Click here to learn more about ERC.
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