Although the ERC offers businesses potential tax credits of up to $26,000 or more per employee up to 10 employees, some ERC cheaters and scammers have driven the IRS to:
⦁ Stop processing new claims until after December 31, 2023.
⦁ Issue a Circular 230 warning to tax pros.
⦁ Release IRS Forms 3949-A and 14242 to report cheaters, and more.
If your ERC claims (whether filed or unfiled) are not legit, you could be on the hook for repayment of the funds you received plus penalties and interest. Possibly, too, your ERC claim should have been filed but wasn’t or was filed incorrectly?
ERC claims hold special importance for:
One-owner and married-couple-owned businesses (proprietorships, single-member LLCs, S corporations, C corporations) with fewer than full-time 500 employees, including dentists, physicians, and lawyers in private practice, real estate and insurance sales professionals, financial planners, engineers, consultants, and other business owners.
You can still amend 2020 and 2021 payroll tax returns for the ERC but time is running out: You must amend your 2020 payroll tax returns by April 15, 2024, and their 2021 payroll tax returns by April 15, 2025.
If you need help with this, we welcome you to Begin with a Free Tax Savings Discovery Session Here.