The new Biden administration has many priorities and some ambitious goals. Perhaps none is more immediate than an additional stimulus package to mitigate the deepening impact of a pandemic that has dragged on for nearly a year. After months of declines, initial jobless claims rose again in December to 782,000, which remains above the previous record of 665,000 set in March 2009 (excluding years prior to 1967 when unemployment was measured differently). State legislatures may also implement additional spending cuts in the coming months that could also lead to deleterious effects on unemployment.
With these challenges in mind, it is time to look at the Biden administration’s “American Rescue Plan” to aid in the economic recovery.
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Topics:
IRS,
Taxes,
Election,
Tax Reform,
COVID19,
Coronavirus,
Stimulus,
#taxplan,
Covid vaccine,
loans and grants
The Employee Retention Tax Credit (ERTC) was established by the Coronavirus Aid, Relief, and Economic Security (CARES) Act, but limitations on its availability tempered interest in the relief measure. That is about to change, thanks to significant changes made on Dec. 27, 2020, by the Consolidated Appropriations Act, 2021 (the Act). The ERTC is now available to employers that received loans under the Payroll Protection Program (PPP), so any employer meeting ERTC eligibility criteria can benefit. Because employers potentially benefit from the enhanced ERTC on a retroactive basis, employers should immediately begin analyses to identify and calculate the value of retroactive or prospective ERTC benefits.
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Topics:
IRS,
tax relief,
tax credit,
COVID19,
Coronavirus,
CARES Act,
PPP,
PPP Loan Forgiveness,
Consolidated Appropriations Act,
Employee Retention Tax Credit,
The Act,
ERTC
Amid a chaotic week in Washington D.C., final election results came in that determined the composition of the Senate. Both Georgia Senate seats went to the Democratic candidates, which tipped the balance of power in the Senate to the Democratic party, with Vice President-Elect Kamala Harris presiding as the presumed tie-breaking vote in a chamber evenly split 50-50. This assumes that the Senate Democrats vote along party lines, which is far from certain.
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Topics:
election year,
IRS,
Taxes,
Election,
Tax Reform,
senate,
COVID19,
Coronavirus,
Republican Party,
Biden,
Harris,
#taxplan,
Filibuster,
democratic party,
Legislative Session
The Consolidated Appropriations Act passed on Dec. 27, 2020 provided some much needed COVID-19 relief measures along with its government funding provisions. After much back and forth among Congress about the size and scope of the stimulus package, several opportunities emerged in the final legislation, the first major stimulus package released since the spring’s Coronavirus, Aid, Relief, and Economic Security (CARES) Act. Below are eight actions your organization may want to take as part of its recovery from COVID-19 disruption.
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Topics:
payroll taxes,
FSA,
student loans,
tax credit,
tax legislation,
Paid Family and Medical Leave,
COVID19,
Coronavirus,
CARES Act,
Coronavirus Aid, Relief, and Economic Security Act,
Employee Retention Credits,
PPP,
charitable contributions,
SBA,
loan forgiveness,
Stimulus,
Employee Payroll Tax Deferral,
PPP2
