What a great time of year !!
Between a rock and hard place.
The LLC is in bankruptcy and has applied for the ERC and will get the refund. The IRS says the refund is at the LLC level and to be paid to the IRS to pay off the LLC's payroll tax liability.
The owner is also in debt to the IRS and the IRS's position is she is not entitled to the ERC money. The ironic point is that she will have to amend her schedule C for the year of the credit and pay additional tax on income for which she gets no benefit for the ERC credit.
Another twist in the road.
What do you think?
Art