Argentum's Silver PAC issued the following announcement on Feb. 10
Argentum joins broad coalition in supporting Senate bill to reinstate critical tax relief tool that has provided an economic lifeline to small businesses and nonprofits during COVID pandemic
Senior living advocate Argentum joined with some 70 other trade associations and nonprofits in applauding the introduction of the bipartisan Employee Retention Tax Credit Reinstatement Act in the Senate. The ERTC has served small business and nonprofits throughout the COVID pandemic but was terminated at the end of the third quarter of 2021.
The Employee Retention Tax Credit—which helps to cover costs for employers who experienced revenue drops and kept workers on payroll—enables businesses and nonprofits who kept workers on payroll in the fourth quarter of 2021 to claim this tax credit.
Sens. Maggie Hassan (D-N.H.), Tim Scott (R-S.C.), Mark Warner (D-Va.), Shelley Moore Capito (R-West Va.), and Ben Cardin (D-Md.) introduced the legislation, which acts as a companion to a bill introduced in the House in 2021.
“The Employee Retention Tax Credit gave businesses a lifeline that they could use to keep their employees on payroll, and my bipartisan bill reinstates this important tax credit. I urge my colleagues to join us in supporting this commonsense legislation,” Hassan said.
As part of the ERTC reinstatement coalition, James Balda, president and CEO, Argentum, said the tax credit has served senior living well.
“Senior living providers have been working tirelessly to care for our nation’s most vulnerable seniors while supporting their hero caregivers serving on the frontlines of this pandemic. The Employee Retention Tax Credit had been an essential tool for these providers to meet their enormous financial and workforce challenges but was unfortunately and prematurely ended,” he said.
“Argentum strongly supports the Employee Retention Tax Credit Reinstatement Act to restore this lifeline as originally intended and ensure that providers can continue to focus on delivering quality care to those that it need it most. We commend Sens. Hassan, Scott, Warner, Capito, and Cardin for their efforts to support our nation’s senior living workers and businesses.”
The Senate bill is companion legislation to H.R. 6161, which was introduced in December 2021 by Reps. Carol Miller (R-West Va.), Stephanie Murphy (D-Fla.), Kevin Hern (R-Okla.), and Terri Sewell (D-Ala.).
The ERTC is a refundable tax credit against certain employment taxes equal to 50% of the qualified wages an eligible employer pays to employees after March 12, 2020, and before Jan. 1, 2021. It provides a potential of up to $26,000 credit per employee.
The credit was enacted as part of the CARES Act (March 2020), expanded in December 2020, and extended as part of the American Rescue Plan Act (March 2021) to run through the end of 2021. However, it was included as a pay-for in the bipartisan Infrastructure Investment and Jobs Act (enacted last November), which retroactively ended the credit early on September 30.
Unfortunately, many employers have already taken the credit into the fourth quarter and may face a tax increase for a credit that will need to be forfeited, unless legislation is passed to restore the credit.
These bills would reinstate the ERTC through the end of 2021 to alleviate the retroactive tax increase.
Argentum strongly supports these bills to ensure that eligible senior living providers do not face unanticipated crippling tax burdens, particularly with compounding financial and workforce challenges.
Original source can be found here.
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