The IRS has issued a consumer alert following bad advice shared on social media about a nonexistent “self-employment tax credit” that’s misleading taxpayers into filing false claims.
Promoters and social media are marketing something they describe as the “self-employment tax credit” as a way for self-employed people and gig workers to get big payments for the COVID-19 pandemic period.
Like misleading marketing around the employee retention credit, there is inaccurate information suggesting many people qualify for the tax credit and payments of up to $32,000 when they do not.
In reality, the underlying credit referred to in social media is a much more limited and technical credit that many people are ineligible to receive. Learn more.