Industries

Gyms & Fitness

Was your gym, fitness center, or health-related business impacted during the COVID-19 pandemic, and do you have W2 employees? you are likely eligible to receive ERC.

Gyms, fitness centers, and other health-related businesses were one of the biggest industries to be affected by the COVID-19 pandemic. With partial or full shutdowns, capacity limits, and the need to intensify sanitation procedures, many of these businesses found it difficult to stay afloat. Fortunately, many of these businesses may qualify for the Employee Retention Credit (ERC), part of the 2020 CARES Act, which can provide up to $26,000 per employee for already paid wages.

If you are the owner of a gym or fitness establishment and wish to discuss your ERC eligibility with an experienced Certified Public Accountant, reach out to Strategic Tax Planning. You can call us today for a free consultation at (202) 455-6010 or fill out our contact form, and we will reach out to you.

Is My Gym Eligible For The ERC?

Many owners of fitness establishments and gyms wonder if their own businesses may be eligible for ERC. Generally, if you have W-2 employees, then your business must fall into at least one of the following two categories:

  • Your business(es) experienced decreased revenue during quarters 1-4 and 1-3 in 2020 and 2021, respectively, compared to 2019
  • Your business(es) suffered from government-mandated restrictions

Government-mandated restrictions may include things like partial or full shutdowns, social distancing requirements, restrictions in services provided (e.g., tanning bed, sauna, jacuzzi, or pool closures), and increased sanitization procedures, among many others.

On top of this, a lot of gyms and fitness centers may have received the Paycheck Protection Program (PPP) loans in 2020 or 2021 and wonder how that affects their ERC eligibility. Regardless of whether you received PPP 1 and/or 2, you may be eligible for ERC. Speaking with an experienced certified public accountant can help you to better understand your own business’ eligibility.

How Long is the ERC Refund Processing Timeline?

Business owners who have claimed the Employee Retention Credit may be wondering when they can expect to receive the tax credit. With so many businesses being affected by the pandemic, the IRS has a high volume of applications to process. Every case is unique and will have a different timeline. Your refund could be processed in about 8 months, although it may take longer. 

If you wish to check the status of your refund, you may call the IRS, or use the “Where’s My Refund?” feature on the IRS website.

Find a CPA Firm You Can Trust With The ERC

For many gyms and fitness centers, ERC can be a great financial relief, but it is important to make sure you and your tax planners are diligent and thorough when examining your eligibility. It is critical to note that the IRS will carefully examine your claim for this credit. ERC claims with inaccurate information can lead to compliance risks such as ERC audits in the future, setting up a potential disaster.

Strategic Tax Planning’s experienced tax professionals and CPAs will work closely with you and your business, ensuring all of your ERC qualifications and facts are accurate and in order. We are here to help you receive your deserved relief for persevering during difficult financial times. 

If you own a fitness center or gym and wonder if it may be eligible for ERC, reach out to Strategic Tax Planning for a free consultation with a licensed CPA. You can call us today at (202) 455-6010 or submit your information in our contact form, and we will call you. 

More Information

Industries We Have Helped to Claim
the Employee Retention Credit

Art Galleries

If your art gallery or art business was affected by a mandated suspension of operations or other restrictions, then you may qualify for the ERC.
LEARN MORE

Bowling Alleys, Arcades & Pool Halls

Arcades, bowling alleys, pool halls, or other "Fun Halls" impacted by the COVID-19 pandemic are likely eligible to receive the ERC.
LEARN MORE

Breweries, Distilleries & Wineries

If your brewery was affected by a mandated full or partial suspension of operations then you most likely qualify for the ERC.
LEARN MORE

Cannabis Industry

If you operate a business in the Cannabis Industry, were impacted by COVID-19 restrictions, and have W2 employees--you are likely eligible to receive ERC due to mandatory closures of businesses.
LEARN MORE

Chambers

Chambers that paid their employees W-2 wages during the pandemic, and were impacted by the COVID pandemic in 2020 and/or 2021, are likely eligible to receive the ERC
LEARN MORE

Childcare & Behavioral Centers

If you operate a childcare or behavioral center, were impacted by Covid restrictions, and have W2 employees--you are likely eligible to receive ERC.
LEARN MORE

Construction Companies

If you own a Construction company, were impacted by COVID-19 restrictions, and have W2 employees--you are likely eligible to receive ERC.
LEARN MORE

Doctors & Medical Industry

Prosthodontists, chiropractors, plastic surgeons, and others are often eligible if a suspension of operations prevented you from performing elective procedures.
LEARN MORE

Entertainment

Generally eligible based on shutdowns and other capacity restrictions for doing business. Frequently eligible because of decline in receipts.
LEARN MORE

Gyms & Fitness

Was your gym, fitness center, or health-related business impacted during the COVID-19 pandemic, and do you have W2 employees? you are likely eligible to receive ERC.
LEARN MORE

Law Firms

Potentially eligible if they experienced partial suspension in operations resulting from an order closing the courts and restricting operations.
LEARN MORE

Leisure, Hospitality & Tourism

If you own a business in the leisure and hospitality industry, were impacted by COVID-19 restrictions, and have W2 employees--you are likely eligible to receive ERC.
LEARN MORE

Non Profit Organizations

Nonprofits impacted by COVID-19 restrictions that have W-2 employees are most likely eligible to receive the Employee Retention Credit (ERC).
LEARN MORE

Portfolio Companies

If you own a portfolio company, were impacted by Covid restrictions, and have W2 employees--you may be eligible to receive ERC.
LEARN MORE

Private & Parochial Schools

If you operate a business in the education industry, were impacted by COVID-19 restrictions, and have W2 employees--you are likely eligible to receive ERC.
LEARN MORE

Restaurants & Bars

If you operate a restaurant or bar, were impacted by COVID-19 restrictions, and have W2 employees--you are likely eligible to receive ERC.
LEARN MORE

Retail Stores

Retail shops impacted by COVID-19 restrictions that have W-2 employees may be eligible to receive the Employee Retention Credit (ERC).
LEARN MORE

Spas, Salons & Beauty Schools

If you own a cosmetology business, were impacted by COVID-19 restrictions, and have W2 employees--you are likely eligible to receive ERC.
LEARN MORE

Startup Businesses

Any business that started after February 15, 2020, with less than $1 million in gross receipts, may be eligible as a Recovery Startup Business for the ERC.
LEARN MORE

Vending Machine Industry

If you own or distribute vending machines, were impacted by COVID-19 restrictions, and have W2 employees--you are likely eligible to receive ERC.
LEARN MORE