How long does it take to get erc refund check?

Therefore, most employers can expect to receive their ERTC refund within eight to 10 weeks after filing their return. In our experience, it takes approximately nine months to receive a refund from the IRS after filing a modified Form 941X. Or, you can check the official website for the latest updates on the status of the employee retention credit refund. Instead, the employer must reduce wage deductions on their income tax return for the tax year in which they are an eligible employer for the purposes of the ERC.

The employee retention credit is a fully refundable tax credit that eligible employers request against certain employment taxes. For most taxpayers, the refundable credit exceeds the payroll taxes paid during a credit-building period. Companies that used PayNortheast as a payroll provider could opt for an instant tax credit that provided a portion of the employee retention tax credit each time the payroll was processed. For more information on the employee retention credit, visit the Cherry Bekaert ERC Counseling Center or contact Martin Karamon.

Business owners want to know the reimbursement status of their employee retention tax credit and keep up to date with the process. All eligible PayNortheast payroll customers received an employee retention tax credit refund from the IRS several weeks after the end of each quarter, giving them a clear advantage over companies that are still waiting for their refund. Disaster loan counselors can help your business with the complex and confusing employee retention credit (ERC) and employee retention tax credit (ERTC) program. The IRS has experienced delays in processing mail, tax returns, payments, refunds and correspondence as a result of these delays.

In fact, the IRS had to hire and train an entirely new team of agents to deliver this completely new and unprecedented payroll tax refund program. The repayment schedule for the employee retention credit is such that the IRS originally planned to grant a refund between six weeks and six months after an updated payroll report was submitted. Companies can still apply for the ERC by filing an amended Form 941X (quarterly federal payroll tax return) for quarters in which the company was an eligible employer. Due to changes in COVID-19 safety regulations and the increase in employee retention credit refund requests, the IRS is currently processing millions of unprocessed payroll tax returns.