Despite most being deemed essential and continuing to operate, many healthcare organizations were severely disrupted by partial shutdowns of in-person services and other COVID-19 restrictions. Hospitals and clinics were required to create new, or expand on existing safety protocols, pivot to offerings like telemedicine, and impose greater restrictions on staff to minimize the spread of COVID-19 among staff and patients.
In response to these hardships, financial assistance was provided to employers impacted by the COVID-19 pandemic through the CARES Act, under which the Employee Retention Credit (ERC) was introduced in 2020. The ERC, sometimes called the employee retention tax credit, can benefit healthcare organizations—even if they didn’t have to close their doors.
Healthcare institutions that qualify for employee retention tax credit include nonprofit and for-profit hospitals, instrumentalities including district or county-owned hospitals or medical centers, and independent medical practices.
Any healthcare facility that faced a greater than 10% restriction on business operations due to COVID-19 executive orders or a 20% or more decline in gross receipts is eligible for ERC funds.
Some specific impacts that lead healthcare facilities to qualify for the ERC include:
To ensure accuracy and adherence to the complex ERC tax code, healthcare organizations should work with firms that are led by CPAs and tax attorneys with significant experience applying the financial and legal tests for ERC eligibility. With the right support, you can ensure your filing captures the total amount for all qualifying quarters and that all supporting documentation has been collected.
If you want to learn how the Employee Retention Credit can benefit your healthcare organization, contact EZ-ERC. We are an advisory group led by former big firm CPAs and attorneys that exclusively focus on the ERC. In addition, we are proud to be the only ERC provider in the country that has exclusive relationships with tax insurance brokers and providers to facilitate risk-free tax insurance policies.
After being made aware of the Employee Retention Credit by a private equity firm, we contacted EZ-ERC. They went through the multi-prong approach with us to claim our credits and we were shocked to find out there was a viable path to eligibility well into 2021. We felt confident with EZ-ERC’s expertise from the beginning and the process was smooth. They built a strong, well-documented case to present to the IRS and the timeline met our expectations. We are very satisfied with our experience with EZ-ERC.
EZ-ERC was exceptional to work with. Our representative carefully answered our many questions about the program and was extremely communicative throughout the process. The professionalism EZ-ERC’s team demonstrated is why we consistently refer business owners and volunteer organizations their way. We highly recommend contacting EZ-ERC to see what credits are available to you!
As a risk-averse non-profit organization focused on our community, we were very cautious in our approach to filing for the Employee Retention Credit but the experts at EZ-ERC eased our concerns. They took on the burden of hiring an outside law firm to provide legal analysis and provide additional assurance to support our position. EZ-ERC made the process very streamlined and simple, with clear instructions through every step, making data-gathering easy. The current combination of inflation and lack of affordable housing has dramatically increased the need for our services. This refund has made an enormous impact on our mission and allows us to help more members of our community!
When I was introduced to the team at EZ-ERC, I had already started the ERC filing process with another company. However, communication with the other agency had been inconsistent and information processing was extremely slow. I was immediately impressed with EZ-ERC’s knowledge of the program’s latest updates and eligibility qualifications. Once I switched to their firm, they really took a hands-on approach. As a business owner with a full schedule, it was a relief that they were able to complete a majority of the filing process on my behalf. Overall, the experience with EZ-ERC’s team was fantastic, and I highly recommend working with them. In fact, I have sent many of my colleagues their way and they have had a similar positive experience.
As a new business owner, COVID restrictions took a huge toll on my yoga studio. My retirement dream became grim through decreased membership and increased operational costs. My HR provider let me know about the ERC and that Yoga Six would be eligible for a quarter. After talking to other Yoga Six owners, I learned that my business may be eligible for additional quarters and I was put in touch with EZ-ERC. The team at EZ-ERC advised that my business was in fact eligible for the credit for additional quarters, and they assisted me through the process of obtaining our credit of over $100k. EZ-ERC walked me through everything, and although there is a lot of tedious paperwork, it was straightforward and EZ-ERC made it pretty dang easy. The ERC allowed me to avoid bankruptcy and pay myself back for the money I had to use to stay afloat during the COVID years – I tell all business owners I meet to look into the credit and learn more from EZ-ERC.
After learning about the ERC through other Right at Home owners, we reached out to our accountant for preliminary validation. Our accountant didn’t believe we qualified, which is when we were put in touch with EZ-ERC. After speaking with the team, we quickly learned we did qualify as our business of providing home care to the elderly and disabled was heavily affected by COVID restrictions. EZ-ERC helped us through the entire process of filing for our credit, they were on top of everything and kept us informed throughout every step. Receiving this credit has allowed us to pay off debts we incurred during the pandemic and helped us with hiring – which continues to be a struggle for business owners in this new post-pandemic world. We understand that other business owners are reluctant regarding the ERC, but we tell people that having a great firm to support them like EZ-ERC made it a no-brainer.
My experience with EZ-ERC was one of those rare business collaborations in which my organization’s needs were not only considered to be of the highest priority, but even after our work together had been completed, EZ-ERC continued to support us. Our credit came at a crucial time and made it possible for us to sustain operations and even grow. I have nothing but praise for the service, professionalism, and compassion demonstrated by the staff of EZ-ERC.