Sick Leave Tax Credit
If your answer is YES to this one question:
Did you take any time off to care for you or your family because of COVID in 2020 or 2021?
If anyone in your company (including you) had to take time off for things like getting the COVID vaccine, recovering from COVID or from getting the vaccine, caring for family members because of COVID, government mandated shutdowns because of COVID, etc. and you still paid them, then you likely have money owed back to you by the IRS.
Valiant Capital is serving companies with 50 employees or more
We have served over 2,000 businesses with their Employee Retention Tax Credit, and now we are serving both them and many more with this new Sick Leave Credit.
You can still receive money even if you received PPP and ERC funds from the US Government. Our expert team will help you determine how much you are legally entitled to.
In order to receive all the money you’re entitled to from 2020 and 2021, we need to start processing your application no later than March 15th, 2024! Let’s guarantee you receive all the money you’re entitled from the US Government to continue supporting our great nation and our economy!
Get Pre-Qualified Now
Frequently Asked Questions about Sick and Family Leave Credit (FFCRA and ARP) in Relation to PPP and ERTC:
The Sick and Family Leave Credit is a tax credit provided to employers who offer paid sick and family leave to their employees as mandated by the Families First Coronavirus Response Act (FFCRA) and the American Rescue Plan (ARP).
Eligible employers are those who provide qualified sick and family leave wages to employees who are unable to work due to specified reasons related to COVID-19.
Qualifying reasons include the employee’s inability to work due to their own COVID-19 illness, quarantine, caring for someone with COVID-19, or caring for a child whose school or place of care is closed due to COVID-19.
The Sick Leave Credit is calculated based on the employee’s regular rate of pay, up to specified limits, with different daily and aggregate limits for various qualifying reasons.
Yes, there are maximum limits on the credit, depending on the type of leave and the qualifying reason. Employers should be aware of these limits to accurately claim the credit.
The FFCRA’s mandatory leave requirements expired on March 31, 2021, but the ARP extended the tax credit for employers voluntarily providing paid sick and family leave through September 30, 2021.
Employers who receive PPP loans are not disqualified from claiming the Sick and Family Leave Credit. However, they cannot claim the credit for wages paid with forgiven PPP loan proceeds.
Employers can claim both the ERTC and the Sick and Family Leave Credit, but not for the same wages. Wages for which the ERTC is claimed cannot be used for calculating the Sick and Family Leave Credit.
Employers should maintain detailed records and documentation to show the appropriate allocation of wages for claiming both the Sick and Family Leave Credit and other COVID-19 relief programs like PPP and ERTC.
The Internal Revenue Service (IRS) provides guidance and resources to help employers understand the coordination of benefits when utilizing the Sick and Family Leave Credit alongside PPP and ERTC.
SBA Loan Application Process
Considering that SBA Loans are guaranteed by the Small Business Administration, it seems slightly easier to qualify for the loan. However, this may not be totally true as you are still dealing with banks.
Most traditional financial lending institutions still insist on reviewing your credit history, financial statement, and possible collateral for you to qualify for an SBA loan.
A comprehensive business plan and proof that you are capable of servicing the loan will be required of you to qualify.
However, with a five-step process, you are sure of getting an SBA loan, stress-free thereby shunting the entire process traditional financial institutions will put you through. These processes include:
Step 1 Applying for prequalification: When you contact our loan officers, you will be expected to fill out our application form. The loan officer guides you through the entire process as they issue you an interest letter and may possibly visit the business site if necessary. Once the term of the loan has been agreed upon, the loan immediately goes into underwriting.
Step 2 Underwriting/Credit Approval: The information from the application process is carefully analyzed during the underwriting and is approved by the loan committee if the necessary requirements are met. The term of the approval is issued in a commitment letter.
Step 3 Packaging: Upon approval and the signing of the commitment letter, the loan is either packaged as an SBA 7(a) loan, SBA 504, or USDA B&I loan. A closing checklist will be provided to you, all third-party reports ordered and titles opened.
Step 4 Closing: The file is ready to be closed once the lender has gotten the approval from the SBA or USDA and has also received the third-party reports. A closing date of your convenience will be chosen.
Step 5 Servicing: Once you have received the loan, it is important you begin to service it regularly as agreed in the contract terms.
SBA Loan Requirements
In order to qualify for SBA loan, certain documents will be required of you. They include:
- A valid Driver’s License
- Voided Business Check
- Bank Statements
- Business and Personal Tax Returns
- Business Debt Schedule