IRS opens new process to resolve incorrect claims for the Employee Retention Credit

IRS opens new process for payroll companies, third-party payers to help clients resolve incorrect claims for the Employee Retention Credit

Hello Friends,

The Internal Revenue Service recently announced a supplemental claim process to help third-party payers (TPPs) and their clients resolve incorrect claims for the Employee Retention Credit. We hope you can help us spread the word to organizations that can take advantage of this.

How can you help? Please share links to:

• IRS news release IR-2024-246, IRS opens new process for payroll companies, third-party payers to help clients resolve incorrect claims for the Employee Retention Credit.
• Filing a Supplemental Claim for the Employee Retention Credit, a new webpage that explains the supplemental claims process and includes a sample form.
• Supplemental Claim Frequently Asked Questions for Third-Party Payers

If you use social media, please post one of the following messages:

• The #IRS will allow payroll companies and third-party payers to help clients resolve incorrect Employee Retention Credit claims through a new supplemental claim process. Find out more: https://ow.ly/Bb8L50Twyop
• In a critical next step to improve the processing of complex Employee Retention Credit claims, the #IRS begins a new supplemental claim process for third-party payers to correct clients’ improper #ERC claims. See who qualifies: https://ow.ly/Bb8L50Twyop

We’re especially interested in reaching professional employer organizations and IRC section 3504 agents.

Please contact me with any questions.

John

About the IRS Stakeholder Liaison Office: As part of the IRS Communications & Liaison Division, we form strategic partnerships that enable us to deliver resources and education on a variety of tax-related topics.

About the supplemental claims process: The supplemental claim process allows TPPs that filed prior claims with multiple clients the ability to “withdraw” only some clients while keeping the status of the qualifying clients. A supplemental claim is an adjusted employment tax return that allows the TPP to correct and/or consolidate previous claims filed on or before Jan. 31, 2024, that have not been processed. This helps the IRS make quicker determinations about whether we can process the return or if it needs examination.

TPPs can use a special fax line to submit a supplemental claim. It is available now through Nov. 22, 2024. TPPs and their clients who need help with ERC eligibility can use the Employee Retention Credit Eligibility Checklist and the IRS’s signs ERC claims may be incorrect. TPPs can review the supplemental claims webpage to see if they can correct or consolidate ERC claims for their clients with a supplemental claim and how to do it.

John Blakeman

Stakeholder Liaison Area 6

C&L-SL

Ph: (503) 265 - 3669

Email: John.W.Blakeman@irs.gov