Taylor wants to give an update on the IRS and the Employee Retention Tax Credit (ERC)
In September the IRS announced a moratorium on processing any new ERC claims because they had received a large number of claims from “ERC Mills” who were advertising and placing robocalls using questionable representations that they could get large refunds for taxpayers. Yesterday IRS announced that they were sending over 20,000 letters rejecting some of those claims. They also said more letters are going to be issued. IRS is stating that a large percentage of the rejection letters were because the claimant did not meet the basic criteria for the credit. Thousands of the ERC claims have been referred for audit and IRS is working on hundreds of claims for possible criminal violations. IRS is also working on a plan for a special voluntary disclosure program.