ERC "Second Look" Service
Why ERC Today?
ERC Today is all about doing things the right way. We’re a passionate team that knows there are a lot of options for help with ERC claims – but few have spent the effort to make sure the work is accurate, legal, and ethical. When everyone else has been telling you what you want to hear, we feel that the correct answer is the most important one.
Let us help ensure your ERC claim is compliant and able to withstand scrutiny during the moratorium.
Should I Be Worried About My Existing ERC Claim?
If you can answer "Yes" to any of the below, consider a second look at your ERC claim.
Were you "Pre-Qualified" based upon limited information?
Anyone guaranteeing approval without a thorough understanding of your business and its unique situation may have simply "rubber-stamped" your application.
Were you qualified due to a "Supply Chain Disruption" or generally "Restricted Commerce"?
While possible, these methods are the most difficult to prove and easiest to abuse. To be valid, these methods require a direct cause-effect relationship that had a material impact on your business activity.
Did you receive the maximum $26,000 per W-2 employee?
This is a major red flag, as very few employers can hit the mathematical maximum per employee.
Were some of your businesses excluded from your ERC evaluation?
If you own multiple businesses but some weren't considered, you may violate the "all-or-nothing" eligibility rules of an IRS Controlled Group.
Were owners and/or family members included as eligible employees?
Another common error, majority owners and their family members are rarely eligible and should (almost) always be excluded in the ERC calculation.
Were your PPP loans omitted?
A proper ERC calculation should include details from your PPP loans (if received) and reduce the claim to prevent "double-dipping" between the programs.
Key Details on the recent IRS ERC Moratorium
The IRS recently announced an immediate moratorium through December 31, 2023 on processing new ERC claims due to concerns about improper and fraudulent filings. Here are some key details businesses should know:
Steps if You Discover an Improper ERC Claim
If you find an improper claim was filed on your behalf:
– Consult a trusted tax professional familiar with ERC rules
– Consider amending the claim if errors are identified
– Be aware of risks of failing to correct inaccuracies
Get Help Assessing Your ERC Claim
Given the complex rules and potential risks, it is advisable to get professional assistance assessing your ERC claim accuracy during the moratorium:
– Use our Second Look service request form to get a quote for a customized ERC claim review
– Our team of experts can identify any issues and advise on next steps
We also offer audit defense if your claim is challenged by the IRS
Want A Second Opinion?
Complete our form below and we'll reach out to assist you!
ERC Audit and Claim FAQ
No, the IRS is still working on processing previously filed ERC claims that were submitted before the September 2022 moratorium. However, they have temporarily halted accepting any new claims until at least December 31, 2023 while they address concerns about fraudulent filings and shore up verification processes.
So the IRS has stopped taking new claims, but they continue to process prior ones that were properly filed before the moratorium took effect. That processing is just taking longer than usual due to the more extensive reviews for accuracy and compliance. Companies with existing claims in progress don’t need to refile or start over. But new claims cannot be filed until the moratorium is lifted.
The IRS ordered a moratorium (temporary halt) on new ERC claims because they were seeing a huge surge in questionable and potentially fraudulent claims being filed. They want to add new safeguards and protections against abuse of the progra
The IRS will still process previously filed claims, but it will take longer – around 180 days instead of the usual 90 days. They will be scrutinizing claims more carefully to identify improper credits.
You may have to repay the amounts plus penalties and interest if you wrongly claimed credits. The IRS is working on a potential settlement program for those who got bad advice.
Yes, the IRS is actively investigating billions in potentially fraudulent claims. Just withdrawing a bad claim won’t exempt you from prosecution if it was fraudulent.
Consult a trusted tax pro who understands the complex ERC rules thoroughly. Get help double checking your eligibility and calculations. Consider amending your claim if errors are found.
It’s best to fix any issues proactively. The risks of sticking with an inaccurate claim are greater than amending it. This will put you in the best position if the IRS reviews your claim.
Our ERC audit experts can re-evaluate your claim eligibility and credits during the moratorium. We’ll advise you on any changes needed and defend you if challenged.