Unusual year steers year-end tax strategies

Like so many things this year, the recommended practices for your annual end-of-the-year tax planning reflect the COVID-19 pandemic and its far-flung effects. The economic impact, as well as federal relief packages like the CARES Act, may render some tried-and-true strategies for reducing your income tax liability less advisable for 2020. Adding to the uncertainty … Continued

CARES Act – Retirement Plan and RMD Changes

After the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) was signed into law on March 27, the IRS issued several notices with additional information and guidance related to the 2.2 trillion economic stimulus bill aimed at protecting the public health and economic impacts of COVID-19. The CARES Act is expansive legislation with wide-ranging … Continued

Payroll Tax Deferral Guidance

On Friday, August 28, 2020, the IRS released Notice 2020-65 to provide for the implementation of the Executive Order signed by President Trump on August 8, 2020, in response to the ongoing COVID-19 pandemic. The Executive Order instructed the Secretary of the Treasury to defer the withholding, deposit, and payment of employee Social Security taxes … Continued

COVID-19 Relief Executive Orders

On Saturday, August 8, 2020, President Trump signed four Executive Orders to provide additional economic relief during the ongoing pandemic. The Executive Orders addressed unemployment, payroll taxes, student loans, and evictions. On July 31, 2020, the federally enhanced unemployment payments ended. The Executive Order gives those on unemployment an additional $400 per week, with $300 … Continued

Louisiana Main Street Recovery Grant Program

The Louisiana Main Street Recovery Program will begin on July 28, 2020, providing award grants to assist Louisiana small businesses in their recovery from the economic impacts of COVID-19. The program is administered through the Louisiana Department of Treasury. The funds for the Program were part of the CARES Act funding the State of Louisiana … Continued

IRS guidance provides RMD rollover relief

The CARES Act was enacted in an attempt to mitigate the economic effects of the COVID-19 pandemic. Among other things, it extends favorable tax treatment to qualified individuals who take so-called “coronavirus-related distributions” (CRDs) from IRAs, 401(k) plans and certain other retirement plans. Specifically, the CARES Act waives the 10% early distribution penalty for CRDs … Continued

Paycheck Protection Program Flexibility Act of 2020

Late Wednesday, June 3, 2020, the Senate passed the Paycheck Protection Program Flexibility Act of 2020 (the “Act”) that enhances several of the provisions of the Payroll Protection Program (PPP) enacted as part of the CARES Act. The Act has now been sent to the President for signature. In the CARES Act, PPP borrowers were … Continued

SBA PPP Loan Forgiveness IFR

On Friday, May 22, the SBA followed up the release of Form 3508, the Loan Forgiveness Application for Paycheck Protection Program (PPP) loans with an Interim Final Rule (IFR), finally clarifying some of the provisions related to forgiveness of PPP loans. There are several items that borrowers should be aware of that came from the … Continued

PPP Forgiveness Application Released

On Friday, May 15, the SBA released Form 3508, the Loan Forgiveness Application for the Paycheck Protection Program (PPP) loans. Recipients of PPP loans will complete the application and submit to the lender from whom they received their PPP loan. The application consists of a three-part calculation to determine the amount eligible for forgiveness. First, … Continued

SBA extends the PPP repayment deadline for self-certification

The Small Business Administration (SBA) has extended the repayment deadline for Payroll Protection Program (PPP) borrowers that wish to take advantage of the “good faith” self-certification of eligibility option. The deadline is now automatically extended from May 7, 2020, to May 14, 2020. Companies that repay their loans by that date preempt the possibility of … Continued