Vensure Advocacy Leads to IRS Change Unlocking Long-Delayed ERC Refunds for More than 500 PEOs and 230,000 Businesses Nationwide

CHANDLER, Ariz., June 24, 2026 /PRNewswire/ -- Vensure Employer Solutions, a leading provider of HR/HCM technology, managed services, and global business process outsourcing, today announced a significant breakthrough in the processing of Employee Retention Credit (ERC) claims. Following direct engagement with the Internal Revenue Service (IRS), Vensure helped enable a bifurcated approach that allows approved claims to be paid while disputed portions move through the appeals process.

This development addresses a longstanding issue that has delayed critical relief across the Professional Employer Organization (PEO) industry, which includes more than 500 firms serving over 230,000 businesses nationwide. Under the previous process, ERC claims filed by PEOs were grouped together, meaning a single audit could stall payments for hundreds or even thousands of companies at once, with some claims dating back to early 2021.

Through collaboration with IRS stakeholders and legal counsel, Vensure helped drive alignment on a more practical and equitable solution. By allowing claims to be split, or "bifurcated," the IRS can now release approved portions while isolating only those under review. This approach addresses a key structural bottleneck in ERC processing that had prevented otherwise valid claims from being paid, accelerating access to funds that have been delayed for years.

"From the beginning, we saw that the process was creating unnecessary barriers for businesses that had done everything right," said Kara Childress, President and CFO of VensureHR. "By working closely with the IRS to advance a bifurcation approach, we've helped create a path forward that allows approved claims to move ahead while maintaining the integrity of the review process. Most importantly, it means businesses can finally access funds they've been waiting on for far too long."

By enabling partial payment, this approach unlocks critical capital for businesses that have waited for funds they had already earned, often forcing them to delay hiring, take on debt, or tap reserves to sustain operations. It not only provides a clearer path to accessing these funds, but removes a significant bottleneck that has constrained growth, allowing businesses to move forward with greater stability and confidence.

This milestone builds on Vensure's ongoing advocacy efforts, including its 2025 engagement with policymakers in Washington, D.C., to address delays in ERC processing and push for faster relief for small and mid-sized businesses, a backlog that at the time included nearly 600,000 unprocessed claims.

With bifurcation now in place, businesses and PEOs can move forward with greater clarity and speed in the ERC process. This outcome reinforces Vensure's role as a leading advocate for the industry, driving solutions that deliver meaningful results for businesses nationwide.

About Vensure Employer Solutions 

Vensure Employer Solutions is the largest privately held organization in the HR technology and service sector, providing a comprehensive portfolio of solutions, including HR/HCM technology, managed services, professional employer organization (PEO) services, global business process outsourcing (BPO), and employer of record (EOR) services. Headquartered in Chandler, Arizona, Vensure and its family of companies serve over 161,000 businesses across all 50 states and more than 175 countries, processing over $153 billion in annual payroll. Vensure helps businesses streamline operations and accelerate growth with customized, tech-enabled strategies that support both employers and employees. Visit vensure.com for more information.

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SOURCE Vensure Employer Solutions