I am trying to file form 7200 to get a refund. I have one employee in my business. I pay them once a month. Last check was paid on April 1, for the month of March. The employee is currently "laid off" because of the coronavirus stuff, but will be returning to work after everything is back on track. If the state I'm in only declared a disaster at the end of March (which caused businesses to close down), how much can I claim as a retention credit? Let's say for the sake of simplicity, the employee earned $2000 for the month of March, which was paid in a check on April 1. Do I then claim $1000 as the retention credit? Or do I need to calculate exactly how many hours the employee worked AFTER the governor announced the shut down? So, if the employee only earned $500 in the last week of work (AFTER the shut down was announced), then I would claim $250? Or do I just claim the full $1000, because I paid $2000 worth of wages "After March 12", based on the IRS website?
Please help.
