IRS Opens Process For Withdrawn ERC Claims By Payroll Companies
Thursday, 26 September 2024, 19:07
New IRS Initiative On ERC Claims
The IRS has announced a critical development regarding bad ERC claims submitted by payroll companies. This new process allows for voluntary disclosure, offering a structured way for third-party payers and their clients to rectify incorrect Employee Retention Credit claims.
Understanding Employee Retention Credit Issues
- ERC claims have seen increased scrutiny due to various submission errors.
- Payroll companies often handle multiple claims, making oversight challenging.
- This IRS process aims to clarify how these claims can be amended or withdrawn.
Benefits of the Voluntary Disclosure Process
- Provides a clear pathway for correcting tax compliance issues.
- Minimizes potential penalties associated with bad ERC claims.
- Encourages open communication between the IRS and payroll companies.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.