The world of accounting is never boring, and 2021 is already proving this to be true. Here are several updates and deadline extensions for individuals and businesses to consider. IRS extends April 15 deadline to May 17 The IRS has extended the April 15 deadline to Monday, May 17. This extension does not apply to estimated tax payments for businesses or individuals, corporate income tax payments and return filings, and trust income tax … [Read more...]
What You Should Know About the New Form 1099-NEC for Tax Year 2020
By Alan Shaw, EA As if this year didn’t give business owners enough surprises, in September the IRS rolled out one more: Form 1099-NEC. This new form changes the way organizations will report income and expenses for tax year 2020. Here’s what you should know about it. Use Form 1099-NEC instead of Form 1099-MISC to report payments to independent contractors and vendors. The IRS requires all businesses to report payments made in the course … [Read more...]
Congress Passes Pandemic Stimulus Package
The United States Senate and House have reached an agreement on a $908 billion pandemic economic stimulus package. Also included in the agreement is a $1.4 trillion budget to fund the federal government through September 2021, and several tax extenders scheduled to expire at the end of 2020. … [Read more...]
Why You Should Not Neglect Tax Planning This Year (Especially if You’re a PPP Recipient)
Has your tax situation changed over the last year? Perhaps you experienced a dramatic increase or decrease in business income, you were not able to make your quarterly estimated tax payments as planned, you received unemployment benefits for the first time, or you accepted a Paycheck Protection Program (PPP) loan. If so, it’s more important than ever to consider tax planning. … [Read more...]
Your Next Steps in the PPP Loan Forgiveness Process
The Small Business Administration (SBA) began accepting PPP loan forgiveness applications in August and began approving them in early October. As you navigate the next steps in the forgiveness process, here are a few things to consider. New $50,000 forgiveness limit Recently, SBA and U. S. Treasury announced a simplified forgiveness process for recipients of Paycheck Protection Program (PPP) loans of $50,000 or less. Included with the … [Read more...]
