Wednesday, April 1, 2020


Coronavirus Government Relief Highlights




1.    Economic impact payments 

     -          $1,200 check to individuals who earn less than $75,000 (single) or $150,000 (married)

     -          Smaller check for many earning more than that

     -          $500 additional check for each dependent child

     -          Need to file a tax return for 2018 or 2019

     -          Money will be deposited in bank account listed on tax return (will get check if no bank account listed)



2.    Employee retention credit

          -     Applies to business shut down by government order or business whose sales have dropped by 50% from 1st qtr 2019 numbers

            -      Credit equal to 50% of wages, up to $10,000 in credit

            -      Applies to wages after March 12, 2020 to January 1, 2021

            -      If business has under 100 employees, applies to all wages worked or not

            -      If business has more then 100 employees, applies only to wages not worked for

            -      Receive credit on quarterly payroll tax return, or by submitting form 7200



3.    Changes to tax due dates and installment arrangements           

-          Due date for all federal income tax returns extended to July 15, 2020

-          Applies to tax filing and tax payments

-          Tax installment obligations are suspended until July 15, 2020

-          Action on tax liens and levies is suspended until July 15, 2020 except for high income TP



4.    Expanded unemployment benefits      

-          Unemployment benefits expanded by 13 weeks

-          An additional $600/week in federal benefits added to state maximum benefits

-          Benefits are extended to self-employed workers and Gig workers

-          Those with a poor work history may qualify for benefits

-          Benefits apply to those laid off temporarily or indefinitely

-          Must apply for unemployment through your state unemployment office              

* No assurance is provided, please consult with your accountant or legal counsel*                                                                                                 

www.irs.gov/coronavirus





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