No Need to Panic Just Review Your Filing
Well well well it seems like the IRS has hit a little snag in processing those small business tax break claims. And guess who's caught in the crossfire? That's right us filers. The agency has temporarily halted processing for amended payroll tax returns claiming the employee retention tax credit (ERC). Apparently there's been a flood of "questionable claims" flooding in and the IRS just can't keep up. I guess they didn't expect a cottage industry of specialist firms to pop up and pressure small businesses into wrongly claiming the tax relief. Oopsie daisy!
IRS Urges Caution and Offers Guidance
Now now don't go panicking just yet. The IRS Commissioner Danny Werfel wants us all to take a deep breath and review our claims with a qualified tax professional. He's even working on some fancy guidance on how to withdraw those unprocessed ERC claims. And for those of you who wrongly received the credit and want to pay it back there's a settlement program in the works. So no need to lose sleep over it my fellow small business owners. We'll get through this together!
Talk to the Experts and Start Paying Up
If you're feeling a little unsure about your eligibility for the credit it's time to call in the big guns. Jennifer Rohen a principal at CliftonLarsonAllen says it's an excellent time to review your filing with a qualified tax professional. And hey the IRS even released a detailed ERC eligibility checklist to help us out. But let me give you a little advice from my own experience: always talk to a qualified tax professional who has filed ERC claims before. Trust me it'll save you a lot of headaches.
Don't Wait Too Long Time is Ticking
Now don't go dragging your feet on this. The deadline for 2020 amended returns is creeping up on us but there's still time for those legitimate ERC claims. Kristin Esposito director for tax policy and advocacy for the American Institute of CPAs says we have until the tax deadline in 2024 to amend our 2020 returns. So get your calculators out gather all your documentation and make sure you have a valid claim. But remember if it seems too good to be true it usually is. Don't get caught up in any funny business my friends.
Patience is a Virtue My Friends
Now I know we're all eager to get our hands on that sweet sweet credit but let's not get ahead of ourselves. According to Craig Hausz CEO and managing partner at CMH Advisors new ERC claims won't be processed until 2024 at the earliest. That means we might not see a dime until the spring or summer. So sit tight my fellow small business owners and let's hope for the best. After all patience is a virtue right?
IRS small business tax break employee retention tax credit pandemic claims guidance qualified tax professional eligibility deadline legitimate claims patience
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tennissandgirl
I'm not surprised that there are so many questionable claims. People will do anything to save a buck.
SamsterG
I'm so confused. Can someone explain this whole tax break thing to me in simple terms?
senjanicolai
This is just another example of the IRS's incompetence. They can't even handle a flood of claims properly. Pathetic.
billjay111
I'm glad the IRS is cracking down on these questionable claims. It's about time they put a stop to this nonsense.
tfhadley
I don't understand why people would wrongly claim this tax relief. It's just not right.
davina
I'm glad there's still time for legitimate claims. I was worried I missed out on this tax break.
candle7
I had no idea this tax break even existed. Maybe I should look into it and see if I qualify.
motd
I don't trust the IRS one bit. They're probably just trying to find a way to squeeze more money out of small businesses.
blacklisted124god
I'm not a tax expert, but this whole thing seems like a mess. I hope they figure it out soon.
purieath
I'm not a fan of the IRS, but I have to admit, they're handling this situation pretty well.