IRS making progress in recovering funds distributed under the Employee Retention Credit program

IRS efforts to recover funds under the Employee Retention Credit program

The Internal Revenue Service (IRS) is taking steps to reclaim funds mistakenly distributed under the Employee Retention Credit (ERC) program. The ERC, intended to assist businesses in retaining employees amidst pandemic shutdowns, was misused by fraudsters who exploited its intricate eligibility criteria to target small businesses. Scammers offered fraudulent assistance in ERC applications for a fee, resulting in financial losses for unsuspecting businesses.