Well, nothing is ever for certain when it comes to the IRS. On November 2, 2023, the IRS Director for ERC, John J. McInelly, held a live webinar for trusted tax professionals in which he issued guidelines for withdrawing ERC filings and amending ERC filings, each of which assumed that an ERC filing had been previously made.
However, he made two announcements that changed how we should think about ERC for those who have not already filed. First, the IRS is now allowing those who have not previously filed to mail their ERC filings to the IRS now and not wait until the pause is over. That is a change from the vague guidance that was given before, which indicated they would not want filings to occur again before the pause in processing had ended. It does not mean they will begin processing your filing before the pause ends. But it does mean they want you to file now – if you believe your filing is accurate and legal. This will put you in the queue faster than waiting to file as previously directed.
Consequently, all who sent us their information for filing during the pause will now be receiving their amended 941-Xs from us for immediate filing.
The second and most important announcement he made was that there are no plans to ask Congress for an extension to the statute of limitations on the ability to file for ERC for 2020. If you have not postmarked your filing by April 15, 2024, you will lose the ability to get a refund forever for the year 2020, even if you are entitled to one.
Nothing is ever for certain when it comes to the IRS. While the possibility of the statute changing exists, what we were just told is not to count on it. Register here to begin the process of determining if your church can file and how much the refund would be if you are able to file – and do it now before the statute runs out.
About James Jordan
James Jordan is the proprietor of James B. Jordan CPA, LLC, a nationwide full-service CPA firm that exclusively focuses on churches and specializes in ERC services. He has been a frequent speaker at ACS Technologies conferences, teaches financial management for clergy at Emory’s Candler School of Theology, and is the author of Financial Management for Episcopal Parishes.
