Employee Retention Credit for Pre-Revenue Startups
Employee Retention Credit for Pre-Revenue Startups

The Employee Retention Credit (ERC) is a refundable credit worth $7K per employee per quarter for each 2021 quarter. (Note: “refundable” means you get a check for the credit amount from the IRS. Yes, cold, hard cash!) To qualify, there needs to be a 20% reduction of...

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Section 139 Plans: Startups BEWARE
Section 139 Plans: Startups BEWARE

One of the Bay Area "usual suspects" is at it again – this time pushing "Section 139 Plans." IRS Section 139 states an employer can reimburse employees tax-free for "reasonable and necessary medical, temporary housing and transportation expense" they incur as a result of a disaster...

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Software Startups Beware: The R&D Credit Study Deception
Startups Beware: The R&D Credit Study Deception

We have prepared tax returns for over 3,000 early-stage startups and see many R&D Credit Studies done by newly-formed R&D Study firms – we will collectively call them the “usual suspects.”  You can look at an R&D Study as an insurance policy for your R&D...

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