My client is considering amending her third and fourth quarter 2020, 941 forms to get an ERC. Does the wage adjustment have to be implemented on the 2020 return or can it be done on the 2021 return when she gets the refund?
-
-
Your Suggesting amending 941s to lower your clients income (1120 or 1120S) so they get under $150,000? -
I think he wants to take the ERC to save his company money and wants to know if amended 2020 Forms 941 with the resulting ERC will change the income on the 2020 return to match the amended 941s or on the 2021 return when the ERC is received. I think I understand Mark's questions, but I do NOT know the answer.Last edited by Lion; 04-19-2021, 10:35 PM.Comment
-
Lion understands the question. To me even though the money from amending the 941 forms and the resulting refund happens in 2021, the reduction in wages should happen on the 2020 return. A colleague thinks differently. .Comment
Comment