The recent IRS Notice 2020-32 clarifies that no tax deduction is allowed for payments for eligible PPP loan expenses to the extent these expenses result in PPP loan forgiveness because the PPP loan forgiveness will not be taxable income. This means that the PPP loan forgiveness will result in a net-zero tax effect for the [...]
More Tax Legislation Updates aka More Money for Businesses On Tuesday, April 21, 2020, the Senate approved $310 billion in additional Paycheck Protection Program (“PPP”) funds and another $50 billion in the Economic Injury Disaster Loan (“EIDL”) program. There is also another $10 billion for the small business grants of up to $10,000 ($1k [...]
Below is our understanding of the appropriate ways to be in touch with the Internal Revenue Service (IRS) as of right now. All of this information is as of today, and with all of this type of information, it can change at a moment's notice. The practitioner’s hotline (that's the one we would call on [...]
Angela Hamiter has been nominated to serve a three-year term on the board of the Alabama Society of Certified Public Accountants (ASCPA). The ASCPA Nominations Committee met in Montgomery, and each nominee has already agreed to begin serving June 1, 2020 if elected. The ASCPA is the statewide, professional membership organization representing over 6,000 Alabama [...]
Now that many of you have either already or are waiting on your Paycheck Protection Program (PPP) loan disbursements, we though that it would be helpful to provide you with guidance on the how and how much of that loan can be forgiven. EDITOR's NOTE from May 12, 2020: Several updates and information can [...]
As part of an update to a prior COVID-19 filing and payment changes, the IRS has now pushed back the second quarter will now also be due on July 15, 2020. So to summarize, all returns that were initially due between April 1, 2020 and before July 15, 2020 are now due on July [...]
The new stimulus bill that was signed on Friday, March 27, 2020, known as the CARES Act is a massive and far ranging $2+ TRILLION bill, so it is probably best for us to break it down by sections or likely impacted group. This Act may be cited as the “Coronavirus Aid, Relief, and Economic Security [...]
The SBA and the US Treasury issued a Frequently Asked Questions document yesterday. Paycheck Protection Program Frequently Asked Questions April 6 2020 This is helpful as many companies and business owners are having trouble filling out the application. There is also some disagreement among the banks as to what is allowed or not allowed. [...]
With a new COVID-19 tax law seemingly coming out every couple of days and with guidance on those new laws seemingly being released every few hours, we wanted to keep plan administrators informed of all changes as they stand today. First though, we want to note that while taxes due April 15, 2020 have been [...]
Yesterday afternoon, the US Treasury released official guidance and assistance for implementation of the Paycheck Protection Program as well as the loan application. UPDATE: SBA PPP Loan Application released April 2, 10 PM. Small businesses and sole proprietorships affected by the coronavirus pandemic can apply for loans beginning this Friday, April 3. Independent contractors [...]