Law.com Subscribers SAVE 30%
Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.
IRS Keeps Hold On Employee Retention Credit Claims to Protect Small Businesses from Fraud
Over the past year, the Internal Revenue Service (IRS) has discovered billions of dollars in potentially fraudulent Employee Retention Credit (ERC) claims. Due to the high number of claims from ineligible employers, the IRS put an immediate hold on processing new claims for the ERC in September 2023. The moratorium, which the IRS says may be lifted later this spring, was put in place to protect small business owners from aggressive promoters and scams that put businesses at financial risk. While the IRS has new ERC claims on pause and works to investigate possible fraud, business owners still have the opportunity to protect themselves from potential civil and criminal penalties.
ERC Background and Rise of Scams
The ERC was signed into law in 2020 as part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act to help employers struggling during the COVID-19 pandemic. Eligible businesses affected by COVID-19 could receive a refundable tax credit of up to 70% of the wages they paid to employees in 2021. To be eligible, a business's operations must have been fully or partially suspended due to the pandemic, and the business must have experienced a corresponding significant decline in its gross receipts in 2021. The IRS has issued an ERC eligibility checklist to help businesses understand eligibility requirements.
This premium content is locked for Entertainment Law & Finance subscribers only
ENJOY UNLIMITED ACCESS TO THE SINGLE SOURCE OF OBJECTIVE LEGAL ANALYSIS, PRACTICAL INSIGHTS, AND NEWS IN ENTERTAINMENT LAW.
- Stay current on the latest information, rulings, regulations, and trends
- Includes practical, must-have information on copyrights, royalties, AI, and more
- Tap into expert guidance from top entertainment lawyers and experts
Already a have an account? Sign In Now Log In Now
For enterprise-wide or corporate acess, please contact Customer Service at [email protected] or 877-256-2473
New York's Latest Cybersecurity Commitment
On Aug. 9, 2023, Gov. Kathy Hochul introduced New York's inaugural comprehensive cybersecurity strategy. In sum, the plan aims to update government networks, bolster county-level digital defenses, and regulate critical infrastructure.
The DOJ's Corporate Enforcement Policy: One Year Later
The DOJ's Criminal Division issued three declinations since the issuance of the revised CEP a year ago. Review of these cases gives insight into DOJ's implementation of the new policy in practice.
How AI Has Affected PR
When we consider how the use of AI affects legal PR and communications, we have to look at it as an industrywide global phenomenon. A recent online conference provided an overview of the latest AI trends in public relations, and specifically, the impact of AI on communications. Here are some of the key points and takeaways from several of the speakers, who provided current best practices, tips, concerns and case studies.
Use of Deferred Prosecution Agreements In White Collar Investigations
This article discusses the practical and policy reasons for the use of DPAs and NPAs in white-collar criminal investigations, and considers the NDAA's new reporting provision and its relationship with other efforts to enhance transparency in DOJ decision-making.