As businesses across the United States struggle to stay afloat amidst the COVID-19 pandemic, many are turning to government programs like the Employee Retention Credit (ERC) to help offset costs and keep their doors open. Unfortunately, this has led to a rise in scams and fraudulent claims, leaving businesses vulnerable to financial loss and legal trouble.

One of the biggest problems with ERC scams is the way they are advertised. Scammers often claim that businesses can receive up to $26,000 in tax credits, without providing any context or information about the program. They may use aggressive sales tactics like cold calls and email solicitations to pressure businesses into signing up, making false promises about their ability to secure the credit.

The reality is that the ERC is a complex program with strict eligibility requirements, and claiming the credit requires careful documentation and compliance with IRS regulations. Scammers who promise quick and easy access to the credit are often fraudulent, and may leave businesses on the hook for significant financial penalties.

It's important for businesses to be wary of these scams and to work with trusted, reputable firms who have a proven track record of success in securing the ERC. One such firm is ERT Credit, which has been helping businesses with the ERC for over two years.

In that time, ERT Credit has returned over $250 million in credits to their clients, serving over 1400 businesses across the country. Unlike scammers who make false promises, ERT Credit works closely with clients to ensure they are eligible for the credit and that all documentation is in order.

To illustrate the dangers of ERC scams, we've included examples of voice messages and email solicitations that have been reported by businesses:

Here is an example voicemail we received a few days ago:

"Yes, this is Julie Today is Wednesday the 28th. I still need to speak with you regarding your employee retention credits under the Cares Act. They believe their business could be entitled for up to $26,000 per employee. But I do just need to confirm the eligibility. So could you please return my call at your earliest convenience? So as a reminder, this program is limited and set to expire. You can reach me at 888-626-0122 Thank you so much and talk to you soon."

Click play below to hear the actual voicemail and how official they sound. By the way you still have some time to file the ERC, notice the pressure tactics in this call.

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And another:

"Yes, this is Julie Michaels and I'm calling in reference to your company's unclaimed employee retention credits from the Economic Security Act. I need to discuss the new changes that have recently taken effect. So if you could please be sure to give me a call back. My number is 844-799-1660. And then I'm going to give you a reference number if you can have that handy when you call back out, make things easier for us. Your reference number is 060603. Thank you"
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If you receive a message like this, it's important to proceed with caution. Don't provide any personal or financial information, and don't agree to work with the company until you've done your due diligence and verified their credentials.

In conclusion, the Employee Retention Credit can be a valuable lifeline for businesses struggling during the pandemic, but it's important to be vigilant against scams and fraudulent claims. Work with reputable firms like ERT Credit to ensure you're eligible for the credit and that your documentation is in order, and avoid the pitfalls of ERC scams.