IRS to Reject Billions of Dollars of Pandemic-Era Tax Credit Claims

The agency is concerned about how many taxpayers ‘have been misled and deluded into thinking they’re eligible for a big payday,’ Commissioner Danny Werfel said.

The Internal Revenue Service (IRS) building in Washington, on Jan. 4, 2024. Madalina Vasiliu/The Epoch Times

The Internal Revenue Service (IRS) plans to deny billions of dollars worth of improper claims for COVID-19 pandemic-era tax credits, it announced on June 20.

The agency said in a press release that the planned rejections follow a detailed review that confirmed “widespread concerns about a large number of improper claims,” and provided new insight into what it defined as “risky” ERC activity.