As the COVID-19 pandemic continues, various not-for-profit organizations have experienced a decline in charitable contributions from supporters, and Congress responded with a new provision in the Coronavirus Aid, Relief, and Economic Security (CARES) Act – Public Law (P.L.) 116-136.
This provision aims to provide relief to charitable organizations. Under Section 2204, the provision allows
The IRS has provided guidance to employers regarding the recent presidential action to allow employers the deferral of the withholding, deposit and payment of certain payroll tax obligations.
The three-page guidance in Notice 2020-65 was issued to implement President Trump’s executive memorandum signed on August 8.
Private employers still have questions and concerns about whether, and how, to implement the optional deferral. The President’s action only defers the employee’s share of Social Security taxes; it doesn’t forgive them, meaning employees will still have to pay the taxes later unless Congress acts to eliminate the liability. (The payroll services provider for federal employers announced that federal employees will have their taxes deferred.)
Continue Reading Deferral of Your Employees’ Social Security Taxes
Despite the COVID-19 pandemic, students are going back to school this fall, either remotely, in-person or under a hybrid schedule. In any event, parents may be eligible for certain tax breaks to help defray the cost of education.
Here is a summary of some of the tax breaks available for education.
President Trump recently issued four Executive Orders related to providing added relief to businesses during the COVID-19 pandemic. The most significant order for tax professionals is for a deferral of payroll taxes from September 1, 2020 through December 31, 2020.
With this in mind, we want to share with you a special tax briefing which
If your business was fortunate enough to get a Paycheck Protection Program (PPP) loan taken out in connection with the COVID-19 crisis, you should be aware of the potential tax implications.
The Basics
The Coronavirus Aid, Relief and Economic Security (CARES) Act, which was enacted on March 27, 2020, is designed to provide financial assistance to Americans suffering during the COVID-19 pandemic. The CARES Act authorized up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses through the PPP. In April, Congress authorized additional PPP funding and it’s possible more relief could be part of another stimulus law.
As PKF Texas continues its work-from-home strategy during the COVID-19 pandemic, the firm’s not-for-profit team hosted its first Zoom webinar titled “Adapting to New Daily Challenges Facing Not-for-Profits.”
PKF Texas Audit Senior Manager, Nicole Riley, CPA, CFE, moderated a panel with Matt Kuhlman, Vice President and Chief Financial Officer, Cenikor Foundation; and Jennifer
The Small Business Administration (SBA) and Department of Treasury released an updated Paycheck Protection Program (PPP) Loan Forgiveness FAQ with detailed instructions on Tuesday, August 4, 2020 as the COVID-19 pandemic continues.
The FAQs cover:
Future legislation may impact this and other PPP-related guidance. We will continue
COVID-19 is changing the landscape for many schools this fall. But many children and young adults are going back, even if it’s just for online learning, and some parents will be facing tuition bills. If your child has been awarded a scholarship, that’s cause for celebration! But be aware that there may be tax implications.
Scholarships (and fellowships) are generally tax-free for students at elementary, middle and high schools, as well as those attending college, graduate school or accredited vocational schools. It doesn’t matter if the scholarship makes a direct payment to the individual or reduces tuition.
Continue Reading Your Child’s Scholarship: Is it Tax-free or Taxable?
The Federal Reserve recently announced that not-for-profit organizations now may apply for loans under the $600 billion Main Street Lending Program. Previously open only to for-profit businesses with more than 100 employees, the program offers low-interest loans with relatively relaxed repayment terms.
If your organization needs funding to keep operating during this difficult period, a Main Street loan may be an option.
Continue Reading Your NFP Can Now Apply to the Main Street Lending Program
The tax filing deadline for 2019 tax returns has been extended until July 15 this year, due to the COVID-19 pandemic. After your 2019 tax return has been successfully filed with the IRS, there may still be some issues to bear in mind.
Here are three considerations.
Continue Reading What to Consider After Filing Your Taxes on July 15