The Coronavirus Aid, Relief, and Economic Security (CARES) Act contains immediate payroll tax relief for certain employers. Delaying payment of certain employer payroll taxes is not available to employers who receive debt forgiveness for a loan received under the CARES Act Paycheck Protection Program.
On Friday, March 27th, the Coronavirus Aid, Relief, and Economic Security (CARES) Act (the Act) passed the U.S. House of Representatives and was signed into law by the president.
The CARES Act is possibly the most sweeping economic stimulus package ever and is an ambitious and much-needed shot in the arm to a flagging economy hobbled by the coronavirus.
First of all, I hope that you and those closest to you are staying safe as the COVID-19 pandemic continues to affect families, communities, and businesses throughout our country and the world. Your health is of utmost importance in these tumultuous times. While there are various ongoing challenges faced during this outbreak, we want to ensure that you and your loved ones are taken care of in order to mitigate the shock throughout the development of this crisis. We understand you have many questions and concerns pertaining to the virus’s direct impact on your physical and financial well-being, so we want to share the steps we have taken not only in the past few days but throughout the past few quarters to adapt to this new environment.
Throughout the coronavirus pandemic, we’ve worked diligently to keep you informed about developments that affect you and your business. Late Sunday evening, Judge Clay Jenkins communicated out a shelter-in-place order for all of Dallas County, except for select essential businesses through at least April 3, 2020.
On Friday, March 20th, Treasury Secretary Steve Mnuchin tweeted that the IRS is moving the tax filing deadline from April 15th to July 15th matching this week’s earlier guidance regarding tax payments due. In a subsequent tweet, the IRS confirmed the move aimed to provide relief for taxpayers affected by the coronavirus pandemic. The move, backed by bipartisan groups in Congress, will afford taxpayers and tax preparers more time to complete returns as many states and localities are affected by office closures and thus have limited access to files and documents needed to file timely.
On Wednesday, March 18, 2020, the U.S. Senate passed H.R. 6201, Families First Coronavirus Response Act, which was signed shortly thereafter by the president. Now that the bill is signed into law, here are some key provisions affecting small businesses set to take effect by April 2nd.
On Wednesday, March 18th, the IRS issued Notice 2020-17, Relief for Taxpayers Affected by Ongoing Coronavirus Disease 2019 Pandemic, which allows for an extension of the payment deadline for individuals and corporations for tax federal payments for 90 days. Individuals that owe money on their April 15th tax filing for 2019 taxes or first quarter 2020 estimated taxes may defer up to $1 million without incurring penalties or interest. Consolidated groups or C corporations that do not join in filing a consolidated return may defer up to $10 million.
With the arrival of several presumptively positive cases of the Coronavirus (COVID-19) in North Texas, I wanted to reach out and assure you of the precautions and safety measures LGT has in-place during this time of uncertainty.