What Is the ERC Estimated Processing Time for Businesses?

July 13, 2023
Dayes Law Firm

The ERC, also called the Employee Retention Tax Credit or ERTC, can bring serious relief if you had to shutter your business during the COVID-19 pandemic. You could qualify for thousands in employee retention credits if you kept workers on payroll or had to shut down due to disaster declarations.

Wondering how long it will take the IRS to issue your refund? Here’s what to know about ERC processing time, how to check your refund status, and steps to take if yours is delayed.

When Will You See Your ERC Refund?

If everything goes well, you should expect to find your refund check in the mail or the funds in your bank account as soon as four weeks after filing. However, due to delays, it could take eight weeks or more.

Generally, the bigger and more complicated your ERC claim is, the longer the ERC processing time might take.

Why Is It Taking So Long for the IRS To Send Your Refund?

You’re far from the only business applying for the ERC. Millions of businesses nationwide closed their doors during the pandemic yet continued paying their staff. That means it could be months or even a full year before the IRS sends you a check.

The IRS struggled with office closures, too. As those offices reopen, it will take some time for agents to catch up with the backlog of paperwork.

What To Do if Your ERC Refund Is Delayed

If you’ve already applied for the ERC and included everything the IRS asked for, there’s nothing more you can do to speed ERC processing time up. It’s possible to check your refund status, but be aware that refund checks won’t make the IRS move any faster.

One way to check filing status is to call the IRS Help Line. Businesses should call (800) 829-4933 to speak with an agent. The Help Line is open Monday through Friday from 7:00 am to 7:00 pm.

When you call, have your Employer Identification Number (EIN), Social Security number, and tax information ready. An agent will use this information to track down your refund.

Be prepared for long wait times. The IRS handles many calls daily, so expect to wait 20 minutes or more for an agent to help you.

If you’ve hired a tax professional, you can also ask them to check your refund status.

Do You Qualify for the ERC?

If you haven’t heard a thing from the IRS, there’s a chance you don’t qualify for the refund. Requirements are pretty strict, and not all businesses meet them. To qualify, you must have:

  • Partially or fully closed your business because of government orders
  • Had a significant decline in gross receipts compared to the same quarter in the previous year (includes total sales, royalties, and income from dividends, interest, or rents)

Reach Out to Us if You’re Still Waiting for the ERC

It’s normal for the ERC to take a while to show up in the mail or your bank account, but if you’ve been waiting for months and haven’t seen a dime, the IRS may have a problem with your claim. If you need help finding your ERC refund, we invite you to contact us at Dayes Law Firm.

At Dayes Law Firm, we can’t make the IRS move any faster, but we may be able to figure out what’s causing the delay in ERC processing time. We can also review your tax situation and explain whether you qualify for the ERC.

Call Dayes Law Firm at (800) 503-2000 today for a free consultation about your ERC.