Firm Partner, Mary Wood was quoted in a Tax Notes article published on August 1, 2024
Related Attorney
-
Mary E. Wood
View Bio
Firm Partner, Mary E. Wood, was quoted in a Tax Notes article published on August 1, 2024, written by Lauren Loricchio, titled "Court Denies Request to Lift ERC Processing Moratorium."
The article discusses the July 30 order in "Stenson Tamaddon LLC v. IRS", in which the federal district court denied Tamaddon's request for a preliminary injunction to compel the IRS to lift its moratorium on processing Employee Retention Credit (ERC) claims. The IRS, citing concerns over potential fraud, has extended the moratorium indefinitely. While Judge Steven P. Logan did not grant the injunction, he raised concerns about the legality of the IRS's indefinite moratorium and acknowledged that future relief could be possible.
Mary Wood stated that the decision left the door open to future relief from the ERC moratorium. "The court raised concerns that the moratorium and the length of time it has been in place could be interpreted as IRS policy that is 'stifling' the IRS ERC program despite the clear directive from Congress in the CARES Act," Wood said. "Specifically, the court repeatedly recognized that the IRS is required to process all ripe ERC claims and that a moratorium with an indefinite end date is not reasonable given that the IRS has a statutory duty to act."
The article discusses the July 30 order in "Stenson Tamaddon LLC v. IRS", in which the federal district court denied Tamaddon's request for a preliminary injunction to compel the IRS to lift its moratorium on processing Employee Retention Credit (ERC) claims. The IRS, citing concerns over potential fraud, has extended the moratorium indefinitely. While Judge Steven P. Logan did not grant the injunction, he raised concerns about the legality of the IRS's indefinite moratorium and acknowledged that future relief could be possible.
Mary Wood stated that the decision left the door open to future relief from the ERC moratorium. "The court raised concerns that the moratorium and the length of time it has been in place could be interpreted as IRS policy that is 'stifling' the IRS ERC program despite the clear directive from Congress in the CARES Act," Wood said. "Specifically, the court repeatedly recognized that the IRS is required to process all ripe ERC claims and that a moratorium with an indefinite end date is not reasonable given that the IRS has a statutory duty to act."
