Federal Tax, Tax

About the Employee Retention Tax Credit Voluntary Disclosure Program

The IRS’s second Employee Retention Credit Voluntary Disclosure Program (ERC-VDP) is available until Nov. 22, 2024. It’s designed to help companies repay ERCs they received erroneously. The second ERC-VDP is a little different from the first program. Now, taxpayers can only apply for tax periods in 2021. (ERC money received in 2020 isn’t eligible for the program.) Also, the payback rate is now discounted 15%, so taxpayers need to refund 85% of the credit for which they’re ineligible. If a company hasn’t yet been paid or hasn’t cashed or deposited the IRS check, it can’t participate in the program. However, it may be able to request an ERC claim withdrawal. Learn more: https://bit.ly/4ehknCUContact the Cg Team for help. © 2024