The IRS has revised the timeline for the Employee Retention Tax Credit (ERTC) program to nine to twelve months, and the average refund is typically between six and ten months.
In our experience, once the ERTC forms are sent to the IRS, they are taking six to nine months to send a check or letter with the payroll tax credit.
The Employee Retention Credit (ERC) is a refundable tax credit against certain employment taxes equal to 50% of the qualified wages an eligible employer pays to employees after March 12, 2020, and before January 1, 2021. Eligible employers can claim the ERC on an original or adjusted employment tax return for a period within those dates, and recovery startup businesses are eligible in the fourth quarter of 2021. Employers should be wary of third-party ERC schemes, and should report tax-related illegal activities relating to ERC claims to Form 3949-A.
Employee Retention Credit | Internal Revenue Service - IRS tax forms
The length of time it takes to receive the ERC refund will vary from business to business.
Initially, it may have taken anywhere from four to six weeks to receive your employee retention tax credit reward. However, due to a backlog of claims submitted to the IRS, this has lengthened by a number of months.
Where is my ERC Refund? Check The Status of Your ERTC Claim
The Employee Retention Tax Credit (ERTC) program was established as part of the CARES Act to help businesses struggling to regain their financial footing. The IRS has revised the timeline for the ERTC to nine to twelve months, and the average refund is typically between six and ten months. Business owners can apply for an ERTC refund by submitting Form 941-X, and can expect to receive their refund within a few weeks.
How Long Does It Take to Get ERTC Refund 2023
In our experience that we have seen so far, once the Employee Retention Tax Credit forms are sent to the IRS, they are taking six to nine months to send you a check or send you the letter saying that you have a payroll tax credit, so they are taking a long time.
Employee Retention Credit Processing Times
IF ERC Claimed on an Amended Form 941 Processing (over $100,000/quarter): Currently, the IRS has been processing these within about 6-8 months. If your amended 941 was filed in late…
Employee Retention Credit Updates - Wegner CPAs