Small business owners are experiencing delays of several months for employee retention credit (ERC) claims submitted to the IRS.
Authorized by the Cares Act, the credit aimed to motivate employers to retain staff during the early days of the COVID-19 pandemic as unemployment rates surged.
However, the IRS is struggling to process the claims due to a backlog, with some businesses waiting up to 160 days for refunds.
Creating an IRS hotline, or live chat, to help small businesses navigate their taxes fell among the recommendations that came out during a congressional hearing on Wednesday, June 7. Read more.