The Internal Revenue Service (IRS) has reopened the Employee Retention Credit (ERC) Voluntary Disclosure Program that closed in March of this year. The reopened ERC Voluntary Disclosure Program runs through November 22, 2024, and eligible businesses can submit applications under the program to avoid the risk of facing an ERC-related audit or investigation. However, as New Jersey tax attorney Kevin E. Thorn, Managing Partner of Thorn Law Group, explains, not all businesses are eligible to file, and filing doesn’t necessarily guarantee that the IRS will look the other way.

In an August 8, 2024 News Release, the Internal Revenue Service (IRS) stated that it is “moving methodically and deliberately on both . . . disallowances as well as additional payments” under the Employee Retention Credit (ERC) program. This includes “intensifying audits and pursuing civil and criminal investigations of potential fraud and abuse.” The IRS has now been prioritizing ERC fraud enforcement for several years; and, as New Jersey tax lawyer Kevin E. Thorn, Managing Partner of Thorn Law Group, explains, ERC fraud is likely to remain an IRS enforcement priority well into the future.

As the Internal Revenue Service (IRS) continues to prioritize ERC fraud enforcement, it has recently identified several specific issues that are likely to lead to penalties during audits and investigations. By publicly identifying these “warning signs,” the IRS is hoping to encourage business owners to voluntarily address noncompliant filings before they lead to scrutiny. Learn more from New Jersey tax attorney Kevin E. Thorn, Managing Partner of Thorn Law Group:  

If your business is facing scrutiny from the Internal Revenue Service (IRS) under the Affordable Care Act’s (ACA) health insurance mandate, you are not alone. We have seen a significant uptick in IRS penalty audits targeting ACA non-compliance over the past several months. These audits present substantial risks, so an informed and strategic defense is critical. Here are some key insights from New Jersey IRS lawyer Kevin E. Thorn, Managing Partner of Thorn Law Group:

In a June 20, 2024, News Release, the Internal Revenue Service (IRS) confirmed that it has uncovered an “extremely high rate” of improper claims under the Employee Retention Credit (ERC) program. While the ERC was a pandemic-era relief program, it remained open until late last year (when the IRS imposed a moratorium on new filings due to fraud-related concerns), and the IRS now believes that the “vast majority” of claims filed under the program may be fraudulent. New Jersey IRS tax lawyer Kevin E. Thorn, Managing Partner of Thorn Law Group, explains what this means for business owners in the Garden State: