The SBA and Treasury have released a PPP loan forgiveness application.
You can access the application here. Even if you still have several weeks before you need to apply for loan forgiveness, it would be a good idea to take a look at the information that you will need to provide so that you can be prepared when the time comes.
Some taxpayers may recieve their Economic Impact Payments through a Prepaid Debit card.
If you receive one of these cards, do not throw it away, it is not a scam. The IRS has confirmed that they will be sending out a small portion of the Economic Impact Payments using this method. According to the FTC, if you get your payment in this form, the envelope wil be from "Money Network Cardholder Service" and the cards will be VISA-branded prepaid cards issued by MetaBank.
The cards will need to be activated to be used, and the mailer should give you instructions on how to do this. You can go online here to get help if you have trouble using the card.
See this handy guide from the Consumer Financial Protection Bureau for more tips on how to use the cards and avoid paying fees for accessing, cashing or transferring the funds. They even explain how to get some of the money issued as a check if you need to pay something like rent that will not take a debit card.
The IRS has not been clear about who is likely to get these cards vs. getting a check, but it does look like direct deposit will still be the default for all taxpayers who have provided them with bank information.
Remember though, than unless you've asked for assistance, no one will ever call you about the EIP card. And no one will text, email, or ask you to click on a link they sent to activate this card or to get your money. If someone does, it's a scam.
Action may be needed to recieve your economic impact payment:
If you do not normally file a tax return, and cannot be claimed on someone else's tax return, you can go here to provide basic tax information to get your economic impact payment. If you receive social security benefits, you do not need to provide any more information to get the payment (unless you have a dependent child under age 17- then you need to fill out the form to get an extra $500 for each child).
The new IRS web app is now available here that will allow taxpayers who have not provided direct deposit information on their last filed tax return to enter bank information for direct deposit of their economic impact payment. If the IRS does not have direct deposit information at the time of processing your payment, they will mail a check to the last known address they have on file for you.
This app will not allow taxpayers to update direct deposit information that has already been provided. Nor will it allow for direct deposit information to be added after the payment has been sent.
If you have changed bank accounts since you last filed a return, don't panic. If your account is closed, the IRS will simply issue a paper check.
If you have both moved and changed bank accounts since you last filed your 2018 return, the only way to update your information for the payments is to file your 2019 tax return.
The application form for a Paycheck Protection Program loans is now available. To see what information is required and to prepare for applying with an SBA approved lender Preview it here.
The SBA has resources for finding a participating lender here.
The Department of the Treasury has also put together a borrowers guide to the program here.
Employee Retention Credit
Delayed payment of payroll taxes
Other busiess tax law changes that may be of interest
The CARES Act also made a number of changes (some retroactive) to the tax law. Some are specifically targeted to help with the COVID-19 pandemic, and some are technical corrections to previous bills.
The IRS has clarified that the extended deadlines for filing mean that IRA and HSA contributions for 2019 may also be made up until July 15th.
With the COVID-19 outbreak, we are continuing to provide services while at the same time working to understand all of the changes that are taking place. While we will continue to send updates and provide information, the following is a list of links to primarily tax and other government related information that has been posted related to COVID-19. Please continue to check these sources for ongoing updated information as it may relate to your business.
The IRS, MN & WI have all extended the individual deadline to file and pay taxes due until July 15, 2020.
Taxpayers will automatically receive an extension of time to both file and pay their 2019 Federal, MN & WI taxes until July 15th, 2020. This applies to amounts usually due on April 15th for the 2019 tax returns.
In addition, the IRS and WI have extended the deadline for the first estimated tax payment until July 15th. The remaining estimated payments are still due on the normal dates in June, September and January.
MN has not changed the due dates for estimated payments, and the deadlines remain April 15th, June 15th, September 15th, and January 15th (2021).
The rules for business and trust returns are a bit more complicated, so feel free to contact us for more details about those entities.
With all the challenges that have occurred recently, many of the returns that we are working on will not be completed by April 15th. That said, we are still doing our best to complete the returns that we have received as soon as we are able, so that our clients can get their refunds quickly or know their amounts due with plenty of time to pay.
We continue to watch for additional guidance and updates from the taxing agencies and we will do our best to keep you informed as we receive information.