Tax Provisions to Watch

The infrastructure bill passed by the U.S. Senate would end the Employee Retention Credit early, making wages paid after September 30, 2021 ineligible for the credit (except for wages paid by an eligible recovery start-up business). The IRS issued guidance in Notice 2021-49 for claiming the credit in the third and fourth quarters of 2021.…

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U.S. House Reconvenes to Address Budget and Infrastructure Legislation

We continue to monitor House negotiations on the $3.5 trillion budget package passed by the Senate, which would boost spending on child care, education and other social programs while raising taxes on wealthy individuals and corporations. With a party-line vote of 220-212, the House has advanced a plan to write and approve the spending package…

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IRS Issues Guidance on Claiming the Employee Retention Credit (ERC)

IRS Guidance on the Employee Retention Credit Provides guidance on the employee retention credit available under section 3134 of the Internal Revenue Code (Code), enacted by section 9651 of the American Rescue Plan Act of 2021 (the ARP), Pub. L. No. 117-2, 135 Stat. 4 (March 11, 2021), which provides a credit for wages paid…

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