ARTICLE · 09 OCTOBER 2023

How To Avoid Employee Retention Credit Scams

Scarinci Hollenbeck LLC

Explore more from Scarinci Hollenbeck LLC

Employee Retention Credit (ERC) scams are so prevalent that the Internal Revenue Service (IRS) recently announced an immediate moratorium through at least the end of the year on processing new claims.…

United StatesTax

Jeffrey R. Pittard

Employee Retention Credit (ERC) scams are so prevalent that the Internal Revenue Service (IRS) recently announced an immediate moratorium through at least the end of the year on processing new claims....

Employee Retention Credit (ERC) scams are so prevalent that the Internal Revenue Service (IRS) recently announced an immediate moratorium through at least the end of the year on processing new claims. According to the IRS, a substantial share of new claims for the pandemic-era program are ineligible due to small businesses being scammed by aggressive promoters and marketing.

"For those people being pressured by promoters to apply for the Employee Retention Credit, I urge them to immediately pause and review their situation while we look to add new protections and safeguards to stop bad claims from ever coming in," IRS Commissioner Danny Werfel said in a press statement. "In the meantime, businesses should seek out a trusted tax professional who

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