Taxpayers who already received ERTC payment for a tax period but determined they weren’t eligible can participate in the VDP if they:
Aren’t under criminal investigation and haven’t been notified of being under criminal investigation.
Aren’t under an IRS employment tax examination for the tax period for which they’re applying to the VDP.
Haven’t received an IRS notice and demand for repayment of part or all of the ERTC.
IRS hasn’t received third-part information that the taxpayers aren’t in compliance or haven’t acquired information directly related to the noncompliance from an enforcement action.