Blog #29 Job retention and business operating expenses Eligible recipients may qualify for a loan up to $10 million determined by 8 weeks prior of average payroll plus an additional 25% of that amount. Loan payments are deferred for 6 months. If you maintain a workforce, SBA will forgive the portion of the loan proceeds… Read More
CARES Act Late Wednesday night, the Senate passed in a 96-0 vote the $2 trillion Coronavirus Aid Relief, and Economic Recovery Act (Cares Act). Individual Provisions Recovery Rebates for Individuals Recovery rebate for each taxpayer of $1,200 ($2,400 for joint returns). Plus $500 for every qualifying child. Rebates are means tested and begin phasing out… Read More
The CARES Act helps most individual federal loan borrowers. There is a provision for student loan assistance programs that will benefit all student loan borrowers, but Private and FFEL loan borrowers need to contact their lender or services to see if they offer this new benefit. Summary of Cares Act Stimulus changes for federal loans:… Read More
Effect Date for Employment Tax Credits Under the Families First Coronavirus Response Act Notice-2020-21 Notice 2020-21 provides that employment tax credits for paid qualified sick leave wages and paid qualified family leave wages required by the Families First Coronavirus Response Act (“the Act”) will apply to wages and compensation paid for periods beginning on April… Read More
IRS unveils new People First Initiative; COVID-19 Projected start date April 01-July 15 To help people facing the challenges of COVID-19 issues the Internal Revenue Service announced today a sweeping series of steps to assist taxpayers by providing relief on a variety of issues ranging from easing payment to postponing compliance actions. The People First… Read More
The U.S. Treasury Department, Internal Revenue Service and the U.S Department of Labor announced that small and midsize employers can began taking advantage of the two new refundable payroll tax credits, designed to immediately and fully reimburse them dollar-for-dollar, for the cost of providing Coronavirus-related leave to their employees. This relief to employees and small… Read More
On Friday, President Trump declared a national emergency, using powers that rest in the executive branch. Earlier Tuesday afternoon, Treasury Secretary Steven Mnuchin announced the administration is “giving individuals and many business 90 extra days. Individuals can defer up to $1 million. All you have to do is file your taxes. You’ll automatically not get… Read More
Tax Season Update Regarding COVID-19 The Treasury Secretary made an announcement about tax relief due to COVID-19. As of now, this is what we understand based on this announcement: the individual filing deadline is still April 15 those who can file their taxes should file by the normal tax filing deadline those who can’t file… Read More
Possible Federal Responses on Deck On Friday, President Trump declared a national emergency, using powers that rest in the executive branch. Earlier Tuesday afternoon, Treasury Secretary Steven Mnuchin announced the administration is “giving individuals and many business 90 extra days. Individuals can defer up to $1 million. All you have to do is file your… Read More
Paying taxes are not optional-it’s the law. Some taxpayers must make quarterly estimated tax payments throughout the year. This includes sole proprietors, partners, and S-Corporation shareholders who expect to owe $1,000 or more when they file. Taxpayers do have options when it comes to how they pay their taxes. Here are five options for taxpayers… Read More