On April 23, 2020, the Small Business Administration (“SBA”) issued additional guidance (in an update to its previously published FAQs, a current version of which can be found here) regarding whether businesses owned by large companies qualify for a Paycheck Protection Program (“PPP”) loan under Section 1102 of the Coronavirus Aid, Relief, and Economic Security Act …
New Deadlines for Retirement Plans, Tax Filings and Paid Leave Policies
The Coronavirus Aid, Relief and Economic Security Act (“CARES”), and IRS and Department of Labor (“DOL”) rules establish new and revised deadlines for retirement plans and other benefit programs. The following is an outline of key dates: Item Date Paid Leave Effective date for paid sick and childcare leave under Families First Coronavirus Relief Act …
Continue reading “New Deadlines for Retirement Plans, Tax Filings and Paid Leave Policies”
Relief for Partnerships
The Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) offers tax relief which may be beneficial to entities taxed as partnerships. These provisions include (i) retroactive relief for entities taxed as partnerships by temporarily increasing the interest deduction limitation from 30% to 50% of adjusted taxable income, and (ii) clarifying that “qualifying investment property” …
Alternate Valuation Date to Reduce Estate Tax
If your loved one recently died with a taxable estate, you might consider using an alternate valuation date to reduce estate tax. A Federal Estate Tax Return Form 706 is due 9 months after date of death, and tax is due on an estate with assets that exceed $11.58 million in 2020. An individual’s assets …
Continue reading “Alternate Valuation Date to Reduce Estate Tax”
Even COVID-19 Can’t Stop the Scammers
With the extension of the income tax filing season through July 15th and the forthcoming stimulus funds that will be distributed to taxpayers, it is important for everyone to stay vigilant to avoid scammers and fraudsters who continue to prey on taxpayers. If you receive a stimulus check in the next few weeks, it is …
Employee Benefit Provisions in the CARES Act Provide Employer and Participant Relief
The Coronavirus Aid, Relief, and Economic Security (“CARES”) Act became law on March 27, 2020. The Act includes important provisions that impact employer sponsored benefit plans. Consistent with its name, the Act provides participants enhanced access to retirement plan money, provides employers relief regarding defined benefit pension plan funding, aids employees by requiring payment of …
IRS Provides Details on the Extension of the April 15 Filing Date
In a series of FAQ’s issued on March 24, the IRS has provided additional information on the extension of the April 15 tax deadline announced in response to the COVID-19 pandemic. As mentioned in a prior tax blog prepared by Dickinson Wright, the IRS has provided an automatic extension to July 15, 2020 of Federal income tax returns and …
Continue reading “IRS Provides Details on the Extension of the April 15 Filing Date”
Tax Return Filing Deadline Extended; Tax Credits Made Available for Small and Midsize Employers
Tax Return Due Date Extended to July 15; Tax Payments Deferred On Friday, March 20, 2020 the United States Treasury extended the April 15, 2020 tax-filing deadline to July 15, 2020. Treasury Secretary Steven Mnuchin communicated this extension via Twitter stating, “All taxpayers and businesses will have this additional time to file and make payments …
Estate Planning Amidst the Coronavirus Pandemic
The Coronavirus (COVID-19) Pandemic has impacted every corner of the world at this point. As medical experts, financial advisors, and our colleagues that specialize in healthcare law, employment law, and other related areas are busy advising clients on the best course of action for the weeks and months ahead, we – as estate planners – …
Continue reading “Estate Planning Amidst the Coronavirus Pandemic”
Internal Revenue Service Publishes Regulations Clarifying Business Meal and Entertainment Expenses
Although the 2017 Tax Cuts and Jobs Act (TCJA) suspended the 2% of AGI miscellaneous deductions for individuals beginning in 2018, certain taxpayers may still claim deductions for unreimbursed business expenses, including sole proprietors, certain government officials, Armed Forces reservists and partners in flow-through entities who are regarded as self-employed individuals. Such individuals who incur …