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Up to $32,220 — that’s how much self-employed professionals, 1099 independent contractors, and small business owners can possibly receive from the government if they act fast.
Yet, few people who qualify for these funds have even heard of the Self-Employed Tax Credit (SETC), according to Molly Greene, Marketing Director at Freedom Group, which provides financial, marketing, and insurance services for small businesses. Since it is necessary to claim the tax refund before April 18, 2025, these individuals risk losing out on the money they deserve.
To keep that from happening, Freedom Group has partnered with GigWorker Solutions to develop an online portal where people can find out if they qualify in mere minutes and claim the funds they are due.
How the Self-Employed Tax Credit (SETC) works
“The Self-Employed Tax Credit provides 1099 self-employed professionals with up to $32,220 in tax-free refunds for income they should have earned during COVID-19,” Greene explains. “This is the last government relief program stemming from COVID-19.”
For instance, many Americans will remember the Economic Impact Payments they received from the federal government, which provided financial relief during the pandemic. They may also remember federal assistance programs like the Paycheck Protection Program (PPP), which gave loans to small businesses to help with payroll.
Greene and her team learned about the SETC while helping small businesses connect with similar programs. “We came across this tax credit when we were promoting similar initiatives during COVID-19, like the Employee Retention Credit (ERC) for business owners with W2 employees,” she says. “The federal government has set aside $50 billion to support self-employed professionals through this tax credit.”
The IRS has dedicated a page on its website to answer frequently asked questions about the SETC. Basically, the IRS approaches the tax credit as compensation for sick or family leave that a self-employed person needed to take during the pandemic. The self-employed individual may have been forced to suspend their regular work due to their own health issues, quarantine orders, or lockdown regulations. Other valid grounds for claiming the SETC include missing work due to caretaking responsibilities, such as caring for a sick family member or looking after a child due to school closings.
Did you experience any work interruptions like that during the pandemic? If so, you could be eligible for a payout.
How can you find out for sure? It’s easy, thanks to Freedom Group and GigWorker Solutions’ online tool.
How Freedom Group’s online tool works
“Our process is fully automated and takes less than 10 minutes from start to finish,” Greene says.
In addition to helping people determine their eligibility, Freedom Group and GigWorker Solutions’ online tool enables them to apply for their refund and even get paid.
“If we file a claim on your behalf, then the money can be deposited into your account within as little as three business days,” Greene says.
Over 10,000 people submit applications for processing through the portal every single day. “To date, we’ve already successfully claimed more than $600 million for self-employed individuals through the SETC program,” Greene says. “Even if you’ve claimed funds through other government programs, you could still be eligible for this refund.”
Due to the speed and ease of Freedom Group and GigWorker Solutions’ free analysis software, thousands of CPAs across the country recommend that their clients avail themselves of it rather than paying the CPAs’ own billable hours to do it on clients’ behalf.
“Even if you have an existing relationship with a CPA, it doesn’t make sense to use them for this tax credit, and most of them will agree with that assessment,” Greene says. “They would need to bill you just to research the tax credit and determine how to assemble your application. On the other hand, we’ve already built a streamlined, efficient online process that successfully files for this highly specialized tax credit in large quantities. Plus, you’ll get your money much faster since going through the CPA will likely take five months or longer.”
One of the most exciting parts of the SETC is that the money recipients get from the government is entirely tax-free and can be used however they wish. “Some people funnel the money back into the business,” Greene says. “Others use it to pay down debt or give themselves a well-deserved bonus. Seeing the positive impact this has on their lives and businesses is my favorite part of my job.”
Send in your claim before it’s too late
How would you use a few thousand dollars you weren’t expecting to get back from the government? This doesn’t have to be a rhetorical question. Visit Freedom Group and GigWorkers’ Solution online portal and send in your claim.
“We want to ensure all eligible self-employed professionals claim their refund before it’s too late,” Greene says. “The program ends April 18th. After that date, it will no longer be possible to get this money, even if you would have been eligible previously. Just like the PPP loans and the ERC tax credits, the SETC is a once-in-a-lifetime opportunity.
Have questions? Don’t hesitate to contact Greene and her team directly at SETC@joinfreedom.com.
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