Income Tax Effects of PPP Forgiveness Still Uncertain

When Congress enacted the CARES Act (the Act) that created the Paycheck Protection Program (PPP), it provided a means for small businesses to maintain their work forces and keep people employed. The intention was monies received would potentially be forgiven and not result in taxable income. The Internal Revenue Service however ruled that expenses for the items funded by forgiven loans are not deductible

SBA Issues New Interim Final Rule for Paycheck Protection Program

Several of the amendments to the interim final rule are retroactive to enactment of the CARES Act on March 27, 2020. Small businesses that have yet to apply for and receive a PPP loan need to be informed of the terms of PPP loans as soon as possible because the last day for a lender to obtain an SBA loan number for a PPP loan is June 30, 2020.

Unemployment Fraud Rising in the U.S. | Minnesota

Across the U.S., states, including Minnesota, have reported increased levels of fraudulent unemployment filings related to COVID-19. If you are a victim, reporting the crime can avoid future tax implications.

IRS Clarifies Deductibility of PPP Loan Covered Expenses

If you have operating expenses covered under a PPP loan in 2020, take care in considering your deductions for 2020 tax planning. The IRS has issued guidance to avoid deducting any expenses paid for with potentially tax-exempt (forgivable) income.

May 14, 2020 Deadline Looms for Returning PPP Loan Funds

Based on concerns that some banks prioritized large Paycheck Protection Program loans over small loans and that some businesses should not have received funds, the Treasury Department has issued early warnings about returning funds and forgiveness scrutiny.

Congress Expands Small Business COVID-19 Relief

The Interim Stimulus Plan was just passed. What will the $484 billion in funds go towards? We've outlined what we know about the Paycheck Protection Program and other relief programs below.

Retirement Plan Provisions under the CARES Act

The CARES Act includes retirement plan provisions that allow plan administrators to provide penalty-free distributions, increased loan amounts to provide greater relief for those affected by COVID-19, as well as provisions employers can take if they have been impacted during this crisis. Some of these provisions are outlined below.

PPP, EIDL and MSLP: Navigating your Relief Options

With multiple relief options available for businesses, navigating them can be confusing. We’ve provided a summary PPP, EIDL and MSLP and some considerations you should keep in mind when applying for these relief measures.

What are the key distinctions between layoffs and furloughs?

Due to the economic impact of COVID-19, many business owners are facing challenging decisions, especially regarding their employees. Making the decision to layoff vs. furlough is not easy. We've outlined the key distinctions below to help you understand what is best for you and your employees.

Using Your Financial Statements During an Economic Crisis

If you are a business owner, you are well aware that the COVID-19 pandemic has forced you to make difficult decisions. To make sure you have all the information you need to make rational business moves, it's suggested you look to your financial statements. We've outlined what you need to know here.

CARES Act – Paycheck Protection Program Loans

The Paycheck Protection Program loans of the CARES Act provide cash flow assistance to businesses impacted by the coronavirus. The program grants 100% federally guaranteed loans to employers who maintain payroll during this peacetime emergency.

CARES Act Rebates and Considerations

This week, the Senate and House passed the CARES Act which will provide billions of dollars of relief to individuals, businesses, state and local governments, and the health care system – including rebate checks.

Coronavirus Aid, Relief, and Economic Security Act (CARES Act)

CARES Act will provide billions of dollars of relief to individuals, businesses, state and local governments, and the health care system. While this is still pending approval in the House, it is expected to pass and the President has indicated he will sign the legislation.

Income Tax Filing Deadline is Moved to July 15

U.S. Treasury Department Secretary Steven Mnuchin announced that the 2019 income tax filing deadline will be moved to July 15, 2020 from April 15, 2020, because of the coronavirus (COVID-19) outbreak. At President Trump’s direction, Mnuchin announced on Twitter, “we are moving Tax Day from April 15 to July 15. All taxpayers and businesses will … Continued