The C.A.R.E.S. Act overview and other useful resources…
Over the course of a few weeks nearly everyone’s business and life has been turned upside down. It’s been a crazy time with businesses forced to close, an overload of information (and mis-information on social media) and people risking their lives to save others. With the recent disruption in mind, we have been working to help support you however we can.
We’ve seen a number of our clients already impacted by the virus and worked with our web team to put together a COVID-19 Resources Center as a starting point for answers to your questions.
The passing of the C.A.R.E.S. Act is a life line to small businesses of all types and individual taxpayers as well. Several of the provisions will bring the much needed relief we need right now. We have many questions on how these provisions and benefits will be put into action. As usual we will update you as information becomes available. Please sit tight and stay safe.
Small Business Benefits:
- Paycheck Protection Program (PPP) – keeping your employees on payroll and ask for loan repayment forgiveness
- Employee Retention Tax Credit – cash back on payroll taxes
- Expanded Net Operating Loss Deduction – ability to free up tax dollars for current and prior year’s losses
- Repeal of Excess Business Loss Rules – a benefit for self employed taxpayers and pass through entity business owners
- Qualified Tenant Improvements Bonus Depreciation – increased deductions mean lower taxes
Individual taxpayers will benefit as well:
- Individual Tax Credit/Rebate – $1,200 a person for eligible taxpayers and $500 per their eligible dependents($2,400 for eligible married filing joint taxpayers)
- Potential Penalty Free Access to Retirement Account Funds
- Enhanced Charitable Deductions for Standard Deduction Filers
- Tax Free Student Loans Repayment by Employers
- Enhanced Unemployment benefits
It’s official! the latest news from New York State: As of Saturday March 29, 2020, New York State personal income tax and corporation tax returns originally due on April 15, 2020, have been extended to July 15, 2020. In addition, all related tax payments due on April 15, 2020, may be deferred to July 15, 2020, without penalties and interest, regardless of the amount owed.
For guidance, see N-20-2, Announcement Regarding Relief from Certain Filing and Payment Deadlines due to the Novel Coronavirus, COVID-19.
We’re always watching the constantly changing situation, especially in relation to government packages for businesses and employees. We’ll be regularly updating this page to keep you informed, so please feel free to bookmark it. We will work to add more resources for you every week.
Please get in touch with us if you have any questions.
All the best.