The Consolidated Appropriations Act, 2021, was signed into law on December 27, 2020. Among many changes and updates to the prior relief legislation for COVID-19, this law clarifies and expands the employee retention credit that was created by the CARES Act.
Webinar Key Insights:
- The employee retention credit applies more broadly as a result of changes made by the Consolidated Appropriations Act, 2021.
- The majority of the changes are effective as of January 1, 2021 and impact the first two quarters of the year.
- Note this key retroactive change: employers who took PPP loans are now eligible to take the employee retention credit, so long as the same wages are not used for both.