Federal Tax, Tax

IRS Implements Special Withdrawal Process for Certain ERC Claims

The IRS recently halted the processing of Employee Retention Credit (ERC) claims through at least the end of 2023 as a result of numerous fraudulent claims.

If you filed an Employee Retention Credit (ERC) claim and have concerns about its accuracy, the IRS announced a special withdrawal process for certain taxpayers who have not yet received their refund that may have been misled into filing ineligible claims by ERC promoters.

Taxpayers meeting the following criteria can use the ERC claim withdrawal if all of the following apply:1

  1. The taxpayer made the claim on an adjusted employment return,
  2. The taxpayer filed the adjusted return only to claim the ERC and made no other adjustments,
  3. The taxpayer wants to withdraw the entire amount of their ERC claim, and
  4. The IRS has not paid their claim, or the IRS has paid the claim, but the taxpayer has not cashed or deposited the refund check.

Click here for additional details and instructions from the IRS.

You can also reach out to the Cg Team with any questions.

  1. Internal Revenue Service. (2023, October 24). Withdraw an employee retention credit (ERC) claim. Internal Revenue Service. https://www.irs.gov/newsroom/withdraw-an-employee-retention-credit-erc-claim