A short YouTube panel led by Donna Genie warning businesses about Employee Retention Credit (ERC) scams. Speakers note aggressive marketing by third parties that charge large contingency fees (commonly ~20–25%), may take upfront payments, and may not defend claims if the IRS audits. They recommend verifying qualification rules, working with a CPA to prepare claims, and cite that many client ERC issues arose from 2021 activity. The video closes with host contact and social links.
Questions this video answers
2021
About 20–25%
$2,500
Chapters
The employee retention credit has been a.
Great program for businesses who qualify.
However, I'll forewarn you, there are a.
Lot of companies now who are looking.
To do these credits and take a.
Percentage of what they get for businesses.
As their fee, usually in the neighborhood.
Of about 20 to 25%.
Watch out.
We've seen a lot of scammers in the industry right now who are telling everyone that they qualify without really investigating.
If these companies truly qualify for the employee retention credit.
Let's say that you are approached by.
A company that and they apply for.
The employee retention credit and you get.
$10,000 and they charge you $2,500 to.
File all the information.
First of all, they're going to want.
Their money without waiting for the IRS.
To give you yours.
Second, even if you got your money.
From the irs, if you come to.
Be audited on the employee retention credit in two years from now, or do you think these companies are going to be, are they going to back this up and show proof of how you actually qualified? And even if they did provide information.
About that or provide some sort of.
Guarantee, that doesn't mean that you're off the hook.
If you got the employee retention credit.
And you did not qualify properly, the.
IRS is coming after you, not that.
Company who did it. Yes, they may take action against a.
Company who does this for a lot.
Of people and leaves town. But I promise you that company will.
Be long gone before the IRS gets anywhere near them.
So please make sure that you understand.
The clarification of who qualifies for that credit.
And by all means, talk to your accountant. As a cpa, we prepared all of.
Our clients employee retention credits. This all happened in 2021.
If you have not applied for the.
Employee retention credit and you believe you.
May have qualified, have a CPA prepare those returns for you.
That will give you a little added.
Protection because that CPA is probably not.
Going to just risk their entire career to get you an employee retention credit.
That you do not deserve. They'll also probably make sure that you.
Are taking care of and help you later on if the IRS were to question any of it.
So take a look at the actual rules.
We have some prior videos about the employee retention credit. You can reference those to make sure.
That you do thoroughly qualify.
I'm Donna Bordeaux from Calculated Moves. Please follow us on Facebook, Instagram and LinkedIn. Make sure you check out our blog and our website from the link below. Subscribe to our YouTube channel and hit the bell to be notified when we post. To contact me. Email me@donnacalculatedmoves.com.
