payroll. It had been set to expire on Jan. 1, 2022, but the Infrastructure Investment and Jobs Act signed into law in November accelerated the end of the credit retroactive to Oct. 1, 2021—except for wages paid by a recovery startup business (RSB), for which the expiration date stayed unchanged.
On Dec. 6, the IRS issued Notice 2021-65, which clarifies steps eligible employers should take if they paid wages after Sept. 30, 2021, received an advance payment of the ERC for those wages or reduced employment tax deposits in anticipation of the credit for the fourth quarter of 2021, and are now ineligible for the credit due to the change in the law.
