House Republicans are pressing the IRS for answers after the agency paused processing new claims for a pandemic-era small business tax break.
House Ways and Means Committee chairman Jason Smith, R-Mo., and Oversight Subcommittee chairman David Schweikert, R-Ariz., asked the IRS for updates on the backlog of unprocessed ERC claims., or ERC, which was enacted to support small businesses during the Covid-19 pandemic. Worth thousands per employee, the credit sparked a flood of amended returns, many of which were wrongly filed after bad advice fromon Tuesday, House Ways and Means Committee chairman Jason Smith, R-Mo.
The letter asked several questions about the ERC program, including the number of unprocessed claims, a timeline to clear the backlog, plans to improve processing for legitimate filings and more.As of Sept. 27, the total inventory of unprocessed Forms 941-X, used to amend an employer's quarterly federal tax returns, was roughly 779,000,