On Tuesday, March 31, the IRS issued a new form and instructions for employers to use to obtain advance payments of three tax credits created to help businesses cope with the coronavirus pandemic.
Employers can now file the new Advance Payment of Employer Credits Due to COVID-19 (Form 7200) to obtain advances of employment taxes that are refundable as a result of the new tax credits under President Trump’s Families First and CARES acts: the employee retention credit, the qualified sick leave credit and the qualified family leave wages credit.
The IRS also issued its first informal guidance on the employee retention credit enacted in late March.