The number of people who are going to be expecting an ERC refund that never comes is going to be a nightmare when this government grant ends. I can not tell you how many clients that thought their CPA was working on their ERTC refund, but the CPA forgot the conversation, or has never gotten around to trying to study the 250+ page bill is mind boggling.
Not to mention the number of pop-up companies that have collected up front fees for ERC services and the customer has not heard from them since.
The ERC grant in most experts opinion is the most significant stimulus package in history for small business owners, nonprofit organizations, and any organization that had W2 employees during covid.
However, the number of scams, and amount of misinformation floating around is beyond confusing to most small business owners. The most important decision you will make is who are you going to hire to file your ERC claim? If you get this wrong, the nightmares, stress & audits to follow are almost guaranteed. The only company we recommend to our friends and clients is BottomLine Concepts.
Six Misconceptions About Employee Retention Credit Eligibility – ERC (Many Qualify that Don’t Think They Do)
The Internal Revenue Service (IRS) hasn’t hidden the fact that millions of tax filings, including payroll tax reports, are delayed. The big demand for Employee Retention Credit refund claims is one of the causes of the backlog. This has left many businesses waiting longer than planned for their refund. If you refund is filed correctly, by a credible firm, it will come, but never as quickly as you probably had hoped. Again, IF YOU used a credible company like BottomLine Concept your claim will be done quickly, and correctly. If you used a popup ERC company and paid them a fee upfront, honestly you may never hear from them again, and you can probably kiss your deposit good bye. If you have asked a book keeper or CPA to file your claim, or paid a company a deposit to file you ERC claim and they have not been in constant communication with you since the that is not good.
The odds are, your claim has slipped through the cracks or you have been ripped off.
This has caused confusion in businesses regarding the status of the ERC Refunds. Business owners want to know the refund status of their Employee Retention Tax Credit and stay updated with the process. Most CPA’s don’t want to try to wade through the 250 page documented that has been amended 7 times. Those that are somewhat competent are leaving a lot of money on the table that business owners could claim, simply because ERC refunds are more of a side gig for them. There expertise is filing taxes not writing ERC grants.
Let the CPA’S for your taxes and a credible ERC Grant writing firm, file your ERC claim, if this doesn’t make sense to you then the rest of this article will be a waste of your time.
TABLE OF CONTENTS
How Do I Check on the Status of the Employee Retention Credit?
Employee Retention Credit Refund Check Status
Employee Retention Credit Payment Status
Employee Retention Credit Refund Timeline
How Long Does It Take to Get Employee Retention Credit?
How Long Does It Take for the ERC Refund to Arrive?
How Long are Employee Retention Credit Refunds Taking?
When to Expect Employee Retention Credit Refund?
When Will Employee Retention Credit Checks Mailed?
Why is Employee Retention Credit Refund Delayed?
IRS Employee Retention Credit Phone Number
Conclusion and Summary on Employee Retention Credit Refund Check Status for 2023
How Do I Check on the Status of the Employee Retention Credit?
Honestly, the firm you hired to file your ERTC refund should be keeping you updated throughout the process. You should have a rep that you can call if and when you have any questions about the entire ERC recovery process.
I understand that many reading this have not heard from the company or the representative since they paid their deposit to get the process started. A credible ERC recovery firm will not ask you for upfront fees, they will go to work for you and walk you through the entire 6-12 months process on a contingency basis.
Again if you are not in constant contact with the firm that is supposed to be filing your refund, it may be time to START OVER with an established ERC firm before the program ends and you miss out altogether.
If you must, you can call the IRS at (800) 829-4933 to check the status of your refund. To switch between English and Spanish, press 1 or 2. Press 3 for Employment Tax after you’ve chosen your preferred language.
You’ll now have to wait in line to speak with an IRS agent. Because there aren’t enough agents to handle all of the calls, you may anticipate remaining on wait for 60-90 minutes. Your hold time may be significantly longer depending on the time of day. It is preferable to contact the IRS by 8:00 a.m. ET to save time.
When speaking with an agent, explain that you are contacting to inquire about the status of your Employee Retention Credit, specifically if your 941-X (amended returns) for all relevant quarters has been completed.
Please be aware that the IRS will need to verify your identity and will need your full name, relationship to the company, federal identification number, postal address, year of formation, and the kind of tax return filed for the firm (1120, 1120-S, 1065, etc.)
Most business owners are focused on profits, and trying to locate these documents is like trying to find a needle in a haystack. Again HIRE A CREDIBLE ERC RECOVERY FIRM.
Employee Retention Credit Refund Check Status
The IRS had previously stated that refunds would be issued between six weeks to six months after the updated payroll reports were filed. You should now plan for a turnaround time of six to twelve months from the time the grant is submitted to the IRS.
The IRS processes return in the order in which they are received. As a result, reimbursements from 2020 and earlier will be handled ahead of 2021 returns. If you have any questions, you can call the IRS at 1-800-829-1040. (877) 777-4778 is the phone number.
Companies like BottomLine concepts have a direct line to the IRS. They have been writing government grants and filing for recovery funds for fifteen years. Their goal is to get your claim filed correctly and as quickly as possible.
I spoke with a gentleman a couple of months ago about BLC filing his claim, he said he was going to get his CPA to do it. My question was has your CPA ever done an ERC claim, is she an experienced grant writer, because this is much more than filing a few amended tax forms. I asked, are you sure you want to be her first? He was confident she could do it. I had no doubt she could, but my thought was, why would she want to?
Long story short he called me yesterday wanting me to hook him up with an ERC recovery professional at BLC. His CPA decided she did not have time to review the 250+ page document and felt it was in here clients best interest to work with a credible ERC recovery firm.
Employee Retention Credit Payment Status
As per IRS, there seem to be around 2.4 million processing Form 941 applications and approximately 1.4 million unprocessed Form 941-X as of November 17, 2021. Additionally, the IRS has said that all Form 941 will be processed before processing Form 941-X.
Employee Retention Credit Refund Timeline
Congress approved the Infrastructure Investment and Jobs Act on November 5, 2021, which advanced the termination of the credit to October 1, 2021, rather than January 1, 2022.
Employee Retention Credit Refund Timeline is such that the IRS was originally scheduled to give a refund between six weeks to six months after an updated payroll report was filed. Even this large window appears to be hopeful now. Plan on a nine to twelve-month turnaround at the time of this writing, January 2023.
However, BLC reports that the time to have checks issued has dropped drastically for them, the last quarter of 2022. Probably because they have a Steller reputation and direct line with the IRS. We speak with organizations daily that have been waiting over a year, so there are many factors that will determine your companies ERC refund timeline.
How Long Does It Take to Get Employee Retention Credit?
When you add in a worldwide pandemic, huge logistics/supply chain concerns, and employee shortages, it’s difficult to predict when the backlog will be cleared.
According to the IRS’s most recent information, the revised Form 941 that has already been submitted could expect a refund between 6 and 10 months from the date of filing. Those who are just filing now or who have already filed may have to wait up to 16 months or longer for a refund if your claim is being filed by a local CPA or small company.
Large refunds (above $1 million) may face further delays as a result of the additional examination necessary before they can be given, especially if the firm preparing the claim has no track record or history with the IRS.
Because some companies file the claim on a contingency basis their goal is to get back the largest
How Long Does It Take for the ERC Refund to Arrive?
The IRS was previously expecting to provide refunds between six weeks to six months after the revised payroll reports were filed. You can expect a nine to twelve-month turnaround time for a refund to arrive, depending on who you hire to do the work. If you use a credible, established ERC Recovery Firm, you can expect your refund to come quicker than if it filed by Joe Blow CPA.
How Long are Employee Retention Credit Refunds Taking?
Your refund will be determined by how you file your tax return. The quickest option is to file your return online with a company like BLC that has direct link to the IRS and receive your refund by direct deposit.
Most taxpayers who choose this option receive their refunds within 21 days after submitting their 2021 taxes, which will be submitted in 2022.
That implies your refund will arrive in your bank three weeks after the IRS accepts your tax return. It might take several days for your bank to make the funds available to you. Of course these time spans are fluctuating.
When to Expect Employee Retention Credit Refund?
The IRS disclosed the source of the delays, as well as the condition of the backlog, towards the end of May. The following are the two primary culprits:
(1) the IRS’s processes for dealing with COVID-19 safety requirements, including working remotely, and
(2) the overwhelming number of refund requests: The processing is for Form 941, the quarterly tax return for employers, and Form 941-X, the modified federal tax return or refund claim for employers.
The IRS has said that they are finally opening their letters in a timely manner. Nonetheless, the new processes, along with the growing number of requests, have resulted in a lengthy backlog. Business owners are starting to discover that even though they received PPP funds they can still qualify for the ERC funds because of amendments that have been made to the program.
The Internal Revenue Service is attempting to speed up the process. It is rerouting tax returns from IRS offices that are behind schedule to others that have more staff, for example. Returns are processed in the order in which they are received by the IRS.
Employers are not required to take any more action, according to the IRS. “Employers should not contact the IRS regarding the return status,” the IRS said.
The Internal Revenue Service is redirecting tax returns and taxpayer interaction from locations with inadequate personnel to others with more. They’re also taking additional steps to reduce the time it takes to process returns and refunds. The IRS is working hard to clear the backlog of tax returns by processing them in the order they were received.
To sum up, businesses should not expect Employee Retention Credit Refund anytime soon due to the many delays as disclosed by the IRS.
link to How to Avoid Scams with ERC Companies
How to Avoid Scams with ERC Companies
When Will Employee Retention Credit Checks Mailed?
When you return your Employee Retention Tax Credit paperwork to the IRS, it takes six to nine months for them to issue you a check or an email stating that you do have a payroll tax credit, so it’s a long time.
With the end of November, tax season is approaching. It is believed that if you file for the Retaining Employees Tax Credit during tax time, you’ll have to wait longer because the IRS will be quite busy with their usual job. If you’re interested in applying for the Employee Retention Tax Rebate, it is recommended that you do so today.
Despite the fact that one of the ERC’s goals was to offer funding to offset employee expenses (and hence keep employment), the unavoidable staffing deficit means that even Churches, Private Schools & Nonprofit organizations qualify for ERC Funds.
Why is Employee Retention Credit Refund Delayed?
The Internal Revenue Service may take six to 10 months to evaluate applications for a popular salary benefit designed to keep workers on the payroll amid the Covid-19 pandemic. Honestly, there have been many CPA’S that are not experienced grant writers, and popup fly by night companies submitting ERC claim that are incomplete and not filed properly. You only get one chance to get it right so I cannot stress enough just be smart. Let Bottomline Concepts file your ERC claim. They work with companies like Hilton Hotels, the LA Lakers & McDonalds. 400 of the Top 1000 companies in the USA are their clients. If you want your ERC claim filed, quickly and correctly Bottom Line Concepts is the company. If they will accept you as a client, is there any reason to hire any other company than the one that is Number one in the ERC Recovery space?
Yes, your CPA may attempt to file the claim for you, but they are going to charge you upfront, by the hour, and if they don’t do it correctly you can have problems down the road. I can almost guarantee you that they will recover less funds than BottomLine Concepts will find for you. Who knows how long it will take them, just to read through the 250+ page bill and all the amendments. Again this is not about amending a few tax forms filing this claim has more to do with the skill of writing grants.
If BottomLine Concepts excepts you as a client they will but their staff of 125 tax attorneys, forensic CPAS and grant writers on your claim and you can have the peace of mind that if will be filled quickly and correctly.
As per company owners, auditors, and payroll suppliers, the pauses are caused by IRS delays and government policy changes, forcing firms wanting to claim the working tax credit to delve deeper into reserves and prolonging their recovery.
This process has been a nightmare for payroll companies like paychecks and CPAS across the United States. To expect your payroll company or CPA to be competent at filing ERC recovery grants is comparing Apples and Oranges. Let payroll companies do payroll, CPA’S do Taxes and a Credible ERC firm file your ERC Claim. What about this logic, doesn’t make sense?
The IRS stated at the end of May 2022 that the two primary perpetrators were
- The overwhelming volume of refund requests after business owners discovered they could request ERC fund even if they received PPP.
- Changes to IRS procedures addressing C-19 protocols, such as working remotely and
As per IRS, in addition to several businesses in the United States, COVID-19 has impacted the IRS, causing service delays.
The IRS has experienced delays in processing mail, tax returns, payments, refunds, and correspondence as a result of these delays. As a result, many firms which registered for the ERC have received a tax return that is longer than expected.”
IRS Employee Retention Credit Phone Number
You can call the IRS at (800) 829-4933 to check on the status of your refund. Press 3 for Employment Tax after you’ve chosen your preferred language. You’ll now be in line to speak with an IRS representative.
Your hold time is likely to be between 60 and 90 minutes due to a scarcity of agents available to take calls. Your hold time may be significantly longer depending on the time of day. It is preferable to contact the IRS by 8:00 a.m. ET to save time. You can call them if you must, but they prefer you didn’t.
A smarter move may be to contact your representative and the firm that has filed your claim. We have been shocked at the number of companies we have spoke with that thought they claim was filed months ago who then discovery it was never even started.
If and when this happens to you my suggestion is to make the pivot immediately to a repeatable, established ERC company like BLC.
Conclusion and Summary on Employee Retention Credit Refund Check Status for 2023
The IRS, like many other businesses in the United States, has been hit by COVID-19, which has caused service delays. As a result, many businesses that registered for the ERC refund have been waiting longer than expected.
To check the status of your refund, you can call the IRS at 877-777-4778. However, because of the big demand and the few agents available to answer phone calls, you might not get a quick response. Or you can check the official webpage for the latest updates about the status of the Employee Retention Credit refund.
Everything You Should Know About Employee Retention Tax Credit Deadline.
Better yet ask for updates from the ERC recovery firm that filed your claim or your representative.
Help on How to Get Employee Retention Tax Credit (ERC / ERTC): Receive Up to $26,000 Per Employee for Your Business
The ERC / ERTC Program is a valuable tax credit you can claim. This is money you have already paid to the IRS in payroll taxes for your W2 employees.
Schedule Your Free Employee Retention Credit Consultation to see what amount of employee retention tax credit your company qualifies for.
