The Internal Revenue Service (IRS) recently sent out another alert warning employers and taxpayers of possible scams around misleading claims involving the employee retention credit.
In a news release, the agency said that it and independent tax professionals “continue to see a barrage of aggressive broadcast advertising, direct mail solicitations and online promotions involving the Employee Retention Credit,” adding that while the credit is real, “aggressive promoters are wildly misrepresenting and exaggerating who can qualify for the credits.”
The IRS indicated that it will step up its auditing of those employee-related claims, which were implemented during the COVID-19 pandemic. It warned that taxpayers who improperly try to obtain the credit could face “follow-up action” from the tax agency and that it has boosted its staffing around the issue…