SETC

Self-Employed Tax Credit

You may be eligible for up to $32,220 in tax credits from 2020 & 2021

Deadline to File SETC Claims: April 18, 2025

The SETC is a specialized tax credit designed to provide support to self-employed individuals during the COVID-19 pandemic. It acknowledges the unique challenges faced by those who work for themselves, especially during times of illness, caregiving responsibilities, quarantine, and related circumstances. This credit can be a valuable resource for eligible individuals to help bridge financial gaps caused by unforeseen disruptions.

Understanding the unique circumstances that self-employed individuals face, we've partnered with Anchor Accounting Service to ensure that you don't miss out on this invaluable opportunity. Whether you're a self-employed business owner, a 1099 subcontractor, or a family-centric small business, the SETC holds the potential to bridge the gap left by more traditional forms of support.

Almost everybody with schedule C income qualifies to some extent.

Key Eligibility Criteria:

Self-Employed Status: If you were self-employed in 2020 and/or 2021, you could potentially qualify for the SETC. This includes sole proprietors who run businesses with employees, 1099 subcontractors, and single-member LLCs. If you filed a “Schedule C” or a Partnership (1065) on your federal tax returns for 2020 and/or 2021, you're on the right track.

COVID Impacts: Whether you battled COVID, experienced COVID-like symptoms, needed to quarantine, underwent testing, or cared for a family member affected by the virus, the SETC could be your financial relief. If the closure of your child's school or daycare due to COVID restrictions forced you to stay home and impacted your work, we're here to help.

Important Note: Sub S or True S Corps / C Corps are not eligible for the SETC. This unique tax credit is exclusively available to business owners who filed a “Schedule C” or a Partnership (1065) on their federal tax returns for 2020 and/or 2021 When you’re ready to apply, you’ll need a few tax documents, the date(s) that qualify you, and two completed documents from Gig Workers. Details about all of these documents can be found on your Gig Workers portal. Brought to you by Gig Worker Solutions and powered by Anchor.

Claim Your Tax Credit Now!

Watch the video below to learn more about the process:

What if a merchant changed merchant processors and does not have records for the Class Period?

With a merchant’s authorization, FRS will work with merchant services providers to obtain recent data and business information that FRS will use in its proprietary model to estimate card volume for the Class Period and to work with the Class Administrator to confirm interchange data. In some instances, FRS is already working with a merchant’s processor, which will expedite the flow of information that FRS needs to maximize a claim.
How much will a merchant recover?

A merchant will receive its share of the approximately $5.54 billion settlement fund based on its proportionate share of interchange fees that all claimants paid during the January 2004 to January 2019 Class Period. In other words, recoveries will be based on the amount of a merchant’s card volume and on the total card volume submitted and approved for all claimants. That pro rata amount thus depends on how many merchants submit claims and the amount of card volume that those claims include. At this time, it is too early to tell how much that will be.
When is the settlement fund expected to be distributed to class members?

At the status conference held on September 7, 2023, the district court approved both the form of the proof of claim and the proposed claims filing period, which is expected to begin on December 1, 2023 and run through May 2024. That claim filing period will then be followed by an audit and deficiency period that, based on the process described by Class Counsel, likely will last many months. Based on Class Counsel’s disclosures and on FRS’s extensive experience, FRS believes that a distribution may be conducted sometime in 2025.
If a merchant received a pre-populated claim form, does it still need FRS?

Every class member may always file a claim without retaining FRS. However, FRS provides services that likely will alleviate the administrative burden associated with preparing, filing and substantiating a claim, as well as the backand-forth claim management that often is necessary. In addition to the significant time savings, FRS’s proprietary model is designed to enable merchants to maximize their claims in light of such complicating factors as: (1) using Visa data to estimate Mastercard data; (2) merchants changing merchant processors throughout the Class Period; (3) merchants moving; (4) merchants adding locations; (5) merchants closing locations or shutting down operations completely, especially with the impact of COVID 19; and (6) mergers and acquisitions that may result in merchants overlooking card volume that should be included in their claims and thus not maximizing their recoveries. FRS’s experience will help mitigate most of those variables so that a complete and accurate proof of claim is submitted.
If a merchant retains FRS, will the claim form go to the merchant or to FRS?

To make the process for its clients as efficient and seamless as possible, FRS is in communication with the Class Administrator to ensure that claim forms for all of its clients are sent directly to FRS. FRS will make every attempt to obtain claim forms for new clients that have not signed up yet but do so before claim forms are disseminated. FRS will also work directly with the Class Administrator to submit any “missing” claim forms that were never received by FRS or the merchant.

What if a merchant changed merchant processors and does not have records for the Class Period?

With a merchant’s authorization, FRS will work with merchant services providers to obtain recent data and business information that FRS will use in its proprietary model to estimate card volume for the Class Period and to work with the Class Administrator to confirm interchange data. In some instances, FRS is already working with a merchant’s processor, which will expedite the flow of information that FRS needs to maximize a claim.
How much will a merchant recover?

A merchant will receive its share of the approximately $5.54 billion settlement fund based on its proportionate share of interchange fees that all claimants paid during the January 2004 to January 2019 Class Period. In other words, recoveries will be based on the amount of a merchant’s card volume and on the total card volume submitted and approved for all claimants. That pro rata amount thus depends on how many merchants submit claims and the amount of card volume that those claims include. At this time, it is too early to tell how much that will be.
When is the settlement fund expected to be distributed to class members?

At the status conference held on September 7, 2023, the district court approved both the form of the proof of claim and the proposed claims filing period, which is expected to begin on December 1, 2023 and run through May 2024. That claim filing period will then be followed by an audit and deficiency period that, based on the process described by Class Counsel, likely will last many months. Based on Class Counsel’s disclosures and on FRS’s extensive experience, FRS believes that a distribution may be conducted sometime in 2025.
If a merchant received a pre-populated claim form, does it still need FRS?

Every class member may always file a claim without retaining FRS. However, FRS provides services that likely will alleviate the administrative burden associated with preparing, filing and substantiating a claim, as well as the backand-forth claim management that often is necessary. In addition to the significant time savings, FRS’s proprietary model is designed to enable merchants to maximize their claims in light of such complicating factors as: (1) using Visa data to estimate Mastercard data; (2) merchants changing merchant processors throughout the Class Period; (3) merchants moving; (4) merchants adding locations; (5) merchants closing locations or shutting down operations completely, especially with the impact of COVID 19; and (6) mergers and acquisitions that may result in merchants overlooking card volume that should be included in their claims and thus not maximizing their recoveries. FRS’s experience will help mitigate most of those variables so that a complete and accurate proof of claim is submitted.
If a merchant retains FRS, will the claim form go to the merchant or to FRS?

To make the process for its clients as efficient and seamless as possible, FRS is in communication with the Class Administrator to ensure that claim forms for all of its clients are sent directly to FRS. FRS will make every attempt to obtain claim forms for new clients that have not signed up yet but do so before claim forms are disseminated. FRS will also work directly with the Class Administrator to submit any “missing” claim forms that were never received by FRS or the merchant.

Self-Employed Tax Credit Application

For hard working Gig Workers nationwide.