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Tax Experts Since 2008

Employee Retention Credit in California

Was your California business impacted financially by the COVID-19 pandemic in the 2020 or 2021 tax year? The Employee Retention Tax Credit (ERC) is a refundable tax credit still available to provide financial relief to businesses. If you qualify, your business could earn up to $21,000 per employee. 

Five Star ERC Experts has a team of certified tax attorneys and tax consultants in the state of California ready to help you apply. If you are ready to apply, call our California ERC consultants to get started or book using the button below.

Golden Gate Bridge

Does California Allow the ERC Credit?

California businesses were hit hard by the pandemic. Declines in tourism as well as government shutdowns led hotels, restaurants, and other businesses to experience a significant decline in gross receipts. 

 

Los Angeles, San Francisco, Sacramento, and San Diego were especially impacted due to high populations leading to stricter lockdowns and regulations.

Apply with an Experienced ERC Consultant

Five Star ERC Experts consists of a team of experienced tax attorneys and tax consultants certified in the state of California. Businesses across all industries can apply for the ERC tax credit using one of our experienced tax consultants no matter where you are located in California.

 

Our ERC consultants work with businesses in both Northern and Southern

California in every major city and all towns including: 

  • Los Angeles

  • San Francisco

  • San Jose

  • Sacramento

  • San Diego

  • Fresno

  • Oakland

  • Bakersfield

  • Beverly Hills

Book an ERC specialist today to apply for the ERC tax credit and get in line with the IRS faster.

Eligibility for California Businesses

California businesses must use qualified wages to apply for the ERC tax credit. To be eligible, businesses must not have over 100 employees for the 2020 tax year and over 500 for the 2021 tax year.

 

If your California business experienced a decline in gross receipts over 50% or paid qualified wages to W-2 employees during the 2020 or 2021 tax year, you may be eligible to receive a credit.

Is ERC Taxable in California?

The ERC tax credit does not count towards income tax in California. Businesses who earn over the amount they owed in taxes for that calendar year will receive the rest as a refund. This refunded amount will not be taxed on that year’s tax return if your business is located in California. 

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