Taxpayer Advocate Publishes Update on ERC

The IRS continues to struggle with processing and adjudicating ERC claims. Earlier today, Taxpayer Advocate published a Blog post with an update on the IRS’ progress (or lack thereof) and a call to the IRS to bring much needed closure.

In the Blog post Taxpayer Advocate offered the following updated statistics:

• The IRS has over 630,000 unprocessed ERC claims.

• To date the IRS has disallowed approximately 60,000 ERC claims.

• Taxpayer Advocate has opened 11,000 cases involving ERC.

With the deadline to file ERC claims expiring last month, Taxpayer Advocate called the IRS to bring closure and clarity:

• The IRS should process all ERC claims by the end of the year.

• The IRS should prioritize taxpayers experiencing financial hardship.

• The IRS should provide clear factual and legal explanations supporting any ERC claim denial and give taxpayers sufficient time to respond before transferring cases to IRS Appeals.

A friendly “nudge” from Taxpayer Advocate is always welcomed. With more and more taxpayers petitioning the courts to force the IRS’ hand in processing ERC claims, hopefully the IRS responds to the nudge – saving both the IRS and taxpayers time and money.

The full Taxpayer Advocate blog post is linked HERE.

If you or your clients have any questions about this Blog post, ERC or other tax-related topics, feel free to contact me at (214) 749-2464 or adaddino@meadowscollier.com.