Tax Warrior Chronicles

IRS Grants Broad COVID-19 Relief to Qualified Opportunity Funds and Their Investors

Posted on Tue, Jun 09, 2020

Late last week, the IRS released Notice 2020-39 providing relief for Qualified Opportunity Funds (QOFs) and their investors in response to COVID-19, and updated the Qualified Opportunity Zones frequently asked questions on its website to reflect the recent changes.  With the June 30th investment standard testing date fast approaching for many QOFs, this presents welcome relief and flexibility to QOFs and their investors.

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PPP Update #10 - Potential Changes & Forgiveness Regulations

Posted on Tue, May 26, 2020

As guidance in this area is being released regularly, we recommend you read all of our blogs on this subject.  All the blogs in the Paycheck Protection Program series are here: #1, #2#3#4#5#6#7,#8,#9,#10,#11,#12,#13, #14, #15#16#17, #18,

#19, #20, #21, #22, #23

 

 

 

Treasury kicked off the holiday weekend on Friday, May 22, by releasing its 14th Interim Final Rule (IFR) addressing loan forgiveness for the Paycheck Protection Program (PPP) loans.  This new IFR clarified certain issues while leaving others outstanding.  Today’s blog will focus on the clarifications so borrowers, many nearing the end of their 8-week Covered Period, can make decisions around what is known. 

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529 Plans & COVID-19 Tuition Refunds - 60 Days to Act

Posted on Fri, May 15, 2020

There have been many adjustments to society due to the coronavirus; the largest, of course, being the extended stay-at-home order. With fears of the virus spreading, schools have quickly switched to online learning and closed campus dorms. Many students who paid for room and board have or will receive partial refunds from their learning institutions, possibly leading to an unexpected tax bill.  If a student, or their parents, used a 529 plan withdrawal to pay for qualified education costs and then received a refund from the educational institution it is important to take action within 60 days of receiving the refund. Here’s why…

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PPP Update #8 – What If I Can’t Rehire My Employees? Should I Keep My PPP Money? Can I Get More PPP Money?

Posted on Thu, May 14, 2020

As guidance in this area is being released regularly, we recommend you read all of our blogs on this subject.  All the blogs in the Paycheck Protection Program series are here: #1, #2#3#4#5#6#7,#8,#9,#10,#11,#12,#13, #14, #15#16#17, #18,

#19, #20, #21, #22, #23

 

 

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IRS Allowing Mid-year Changes to Health and Dependent Care Plan Elections

Posted on Wed, May 13, 2020

COVID-19 has led to changes in many employees’ circumstances, from changes in a spouse’s employment and benefits eligibility to significant changes in medical or dependent care expenses. These changes in circumstances mean that many employees may need additional flexibility in their Section 125 Cafeteria Plans.  Various employers have indicated a willingness to offer employees such flexibility and the IRS has responded favorably by recently issuing Notice 2020-29.

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PPP Update #5 – New Guidance for Individuals and Partners with Self-Employment Income

Posted on Thu, Apr 16, 2020

 As guidance in this area is being released regularly, we recommend you read all of our blogs on this subject.  All the blogs in the Paycheck Protection Program series are here: Updates #1, #2#3#4#5#6#7,#8,#9,#10,#11,#12,#13, #14, #15#16#17, #18,

#19, #20, #21, #22, #23

 

 

For some reason the SBA really likes issuing CARES Act guidance Tuesday evenings around 5:00PM.  This was again the case on Tuesday, April 14th when it issued its third interim final rule (regulation) related to the Paycheck Protection Program (PPP).  The third interim final rule provides guidance for individuals with self-employment income who file a Form 1040, Schedule C and provides an update specific

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Employee Retention Credits - Alternative Relief to Paycheck Protection Loans

Posted on Wed, Apr 15, 2020

As the coronavirus continues to overwhelm our nation’s economic and health systems, new tax credits have been introduced to ease the financial hardship placed upon families and business throughout the country.   One such credit, the Employee Retention Credit, was included in the Coronavirus Aid, Relief, and Economic Security Act (CARES Act).

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Delay of Payment of 2020 Employer Payroll Taxes

Posted on Tue, Apr 14, 2020

When Congress enacted the Coronavirus, Aid, Relief and Economic Security Act (CARES Act), the goal was to provide flexibility to businesses during an unprecedented time.  Section 2302 of the CARES Act seeks to provide flexibility by allowing businesses, and self-employed individuals, to defer payment of the “employer” portion of Social Security taxes.

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CARES Act Offers Relief for TCJA Interest Expense Limitations

Posted on Thu, Apr 09, 2020

As part of the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”), Congress provided temporary relief for individuals and businesses by adjusting interest expense limitations under Internal Revenue Code 163(j).  Today, we summarize those changes.

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PPP Update #4 - Paycheck Protection Program – FAQs Issued and Updated

Posted on Wed, Apr 08, 2020

As guidance in this area is being released regularly, we recommend you read all of our blogs on this subject.  All the blogs in the Paycheck Protection Program series are here: Updates #1, #2#3#4#5#6#7,#8,#9,#10,#11,#12,#13, #14, #15#16#17, #18,

#19, #20, #21, #22, #23

Over the past week we’ve provided several updates on the evolving, and sometimes, inconsistent guidance provided by the U.S. Department of Treasury and the Small Business Administration (SBA) regarding the Paycheck Protection Program (PPP) introduced by the Coronavirus Aid, Relief, and Economic Security Act (CARES Act).  We began with an introduction, provided an update when the first draft of the application

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