Firms Appeal in Case Over IRS Software for Covid-Era Credits

Two companies that challenged the Internal Revenue Service’s use of automated software to deny employee retention tax credits are appealing a court decision that they lack standing to challenge the practice.

ERC Today LLC and Stenson Tamaddon LLC filed notice of interlocutory appeal in the US District Court for the District of Arizona, which earlier this month determined they did not have standing to pursue a lawsuit against the IRS . The case would head to the US Court of Appeals for the Ninth Circuit.

• The two firms help companies file claims of the ERC—a pandemic-era program that reimbursed companies ...