March 8, 2024
Some promoters have shared misleading info with well-intentioned businesses about the Employee Retention Credit. You have limited time to fix an incorrectly filed ERC claim without penalties and interest.
Signs your claim may be wrong:
- Claiming ERC for an entire quarter when your business was only suspended for a portion.
- Claiming ERC for more wages per employee than allowed.
- Relying on documents that are not government orders.
- Citing supply chain issues.
- Believing promoters who say there’s nothing to lose.
Options to resolve incorrect ERCs:
- Voluntary Disclosure Program: Available through March 22, 2024, to repay improperly claimed ERC. This program lets you repay just 80% of the claim, among other benefits.
- Claim withdrawal: Ask the IRS not to process a pending claim.