Advocacy News – July 11, 2024
What’s new: The Internal Revenue Service (IRS) recently announced it would again resume processing Employee Retention Credits (ERC) claims, after a 10-month freeze while it investigated fraudulent activity.
ERC refresher: The credit was created during the height of the pandemic as a refundable tax credit to help businesses mitigate the economic impact of COVID-19. The claim was difficult to calculate as each state and even local municipalities had unique and time varying restrictions.
What’s next:
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For businesses that filed a claim before the moratorium started on Sept. 14, 2023, the IRS says that no additional information or action is needed and that they will continue to process claims on a first in, first out basis.
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Any claims submitted on or after that date are expected to remain in the queue for processing at the IRS indefinitely.
There’s more: Read more about the investigation outcomes, and what the moratorium meant for businesses, from MI Chamber member, Plunkett Cooney.