Employee Retention Credit Disputes: Navigating IRS Form 907, Appeals, and Refund Litigation

Tax professionals are facing a shifting landscape as the IRS ramps up review of Employee Retention Credit (ERC) claims. Claims that stall, receive a denial, or move toward litigation require a defined strategy at each stage. This session covers how Form 907 extends the window on a claim, what goes into a strong administrative appeal, and the factors that determine whether refund litigation is the right next step.

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What attendees will learn:

• The purpose and function of IRS Form 907 (Agreement to Extend the Time to Bring Suit) and when it's appropriate to use it in an ERC claim dispute.
• Key deadlines and statute of limitations considerations under IRC § 6532(a), and how executing Form 907 affects a client's options.
• How to identify red flags in an ERC denial letter (Letter 105-C/106-C) that signal the need for appeal versus litigation.
• Best practices for preparing a persuasive administrative appeal, including documentation, protest letters, and IRS Office of Appeals procedures.
• Strategic considerations for deciding between continuing the appeals process and pursuing refund litigation in federal court.
• An overview of the refund litigation process, including jurisdictional requirements, venue selection (District Court vs. Court of Federal Claims), and typical timelines.
• Common pitfalls that can jeopardize a claim's viability at each stage, from initial denial through litigation.
• Practical tips for managing client expectations around timing, costs, and likelihood of success at each decision point.