Rockerbox: Mining Profitability
Our group of tax credit experts help small and medium sized businesses evaluate various tax credit and cost reduction programs. These programs — singularly, or combined together — have the ability to transform the cash flow of the average business.
Work Opportunity Tax Credits (WOTC)
Enacted in 1996, the WOTC program is designed to provide a tax credit to employers for hiring from historically disadvantaged target groups. You are hiring new employees, possibly seasonal employees, that might qualify for the credit. Each qualified employee can earn between $2,400-$9,600 in credits. The credits captured through the WOTC program are applied to offset the business’s federal income tax liabilities.
Employee Retention Tax Credits (ERTC)
Enacted in early 2020, the ERTC is designed to provide a tax credit to employers for retaining and paying W2 employees during the pandemic. Rockerbox works with businesses to determine if they’re eligible to participate in the program; not all businesses will be eligible to participate but there are some nuances to the program that may favor your company’s eligibility. Credits captured through the ERTC program are fully-refundable, or, can be leveraged to offset future payroll tax deposits.
Research and Development Credit (R&D)
The R&D tax credit is available to companies developing new or improved business components, including products, processes, computer software, techniques, formulas or inventions, that result in new or improved functionality, performance, reliability, or quality.