Taxpayers Withdraw $400 Million in ERC Claims, IRS Chief Says

Taxpayers have withdrawn almost $400 million worth of unpaid employee retention tax credit claims since the agency paused processing new claims in the fraud-plagued, pandemic-era program last fall, the IRS chief said.

That’s on top of the $777 million disclosed from taxpayers who claimed the ERC payments in error and voluntarily returned the ineligible credit, IRS Commissioner Danny Werfel told a House Appropriations subcommittee Tuesday.

This was Werfel’s first appearance in front of the panel, which was led for the first time by Rep. David Joyce (R-Ohio).

Werfel defended his agency’s fiscal 2025 request to hold funding flat at $12.3 ...