On May 15th the SBA issued the Paycheck Protection Program (PPP) Loan Forgiveness Application and instructions. This provides the forms borrowers need to apply for forgiveness of their PPP loans as well as the documentation lenders are required to collect from borrowers. Generally, a borrower can apply to have certain payroll and nonpayroll costs forgiven [...]
The May 14th safe harbor deadline (extended from the original date of May 7th) to repay Paycheck Protection Program (PPP) loans was extended until May 18th (SBA FAQ #47 issued 5/13/20). This extension is to give borrowers an opportunity to review and consider FAQ #46. See our blog post Good Faith Certification for PPP Loans. [...]
With the upcoming May 14th safe harbor deadline (extended from the original date of May 7th) to repay Paycheck Protection Program (PPP) loans, borrowers have been toiling with the documentation necessary to establish good faith representations on loan applications and the certification that “current economic uncertainty makes this loan request necessary to support the ongoing [...]
On April 30th, the IRS issued Notice-2020-32, stating the position that expenses funded by forgiven loan proceeds under the Paycheck Protection Program (PPP) are not tax deductible. The CARES Act did not specifically address whether generally allowable deductions would still be permitted if the loan was later forgiven, but the act and public officials’ comments [...]
Phase 3 of the COVID-19 stimulus package (the CARES Act) was just signed by President Trump. The CARES Act includes several income tax provisions that attempt to lessen the impact and encourage individuals and businesses to keep putting money back into the economy. See https://mwbpc.com/the-cares-act-business-highlights/ for the business highlights of the CARES Act. Business [...]
The Families First Coronavirus Response Act, the second coronavirus emergency aid package, was signed into law by President Trump on the evening of March 18, 2020. Only a small part of the legislation contains tax provisions; while the rest of the bill primarily focuses on funding for increased COVID-19 testing, providing free testing for everyone, [...]
Pass-through income tax reform proposals By Cara L. Smith, CPA, CFP The House and Senate bills both provide tax benefits to owners of pass-through businesses (those taxed as S Corporations or Partnerships), but they use different methods to determine the benefit. The House bill would impose a 25% maximum tax rate on pass-through business [...]
Starting this year, many C corporations have an additional month to file Federal tax returns. Previously C corporations using a calendar year-end had to file by March 15. Beginning with 2016 returns, that date is now April 15. Such corporations can also request an automatic extension of time to file the tax return. While the [...]
W-2s and 1099-MISC reporting Non-Employee Compensation are now due to be filed with the IRS by January 31, 2017. This earlier deadline is aimed to make it easier for the IRS to detect and prevent refund fraud. The earlier due date will allow the IRS to match data filed by employers to those amounts reported [...]
As 2016 draws to a close, add year-end tax planning to your "to-do" list. Many overlook end-of-the year tax planning and the money savings benefits it can provide. There is very little that can be done after December 31st to reduce taxes, so it is important to look at your tax situation before the end [...]