Advocacy News – Feb. 26, 2024
What’s Happening? As the Michigan Chamber has previously covered, the federal Employee Retention Credit (ERC) is under the microscope as the program was impacted by countless fraudulent claims.
-
The ERC was created during the height of the pandemic as a refundable tax credit to help businesses mitigate the economic impact of COVID-19.
-
The credit, however, was difficult to correctly apply for as each state, and even local communities, had nuanced COVID-19 restrictions.
Zoom In: Because of the nuance, businesses that applied — particularly through third-party entities — may have received funds they were ineligible to receive.
-
The Internal Revenue Service (IRS) is allowing businesses to payback any fraudulent funds at a discounted rate until March 22, 2024. Click here for more information on the voluntary disclosure program.
To determine if your ERC may be incorrect, check out MI Chamber member Plunkett Cooney’s 7 warning signs checklist. Questions? Please contact Leah Robinson at lrobinson@michamber.com.