As many humanitarian nonprofits see increased need in services provided during the COVID-19 pandemic, many businesses are helping out and donating to charity. To help incentivize charitable giving, the CARES Act relaxed some of the rules governing charitable deductions. Here are two changes that affect businesses: 1. The limit on
Many small businesses continue to struggle in the wake of the COVID-19 pandemic. Some have already closed their doors and are liquidating assets. Others, however, may have a relatively less onerous option: bankruptcy. Although bankruptcy obviously isn’t an optimal outcome for any small company, there may be a positive aspect:
Dear Clients, We continue to monitor COVID-19 issues and as more businesses reopen and people head back to work, DWC will maintain a more conservative approach for the safety of our employees, families, clients, and community. Therefore, our physical offices will remain closed to visitors and we continue to discourage
Borrowers who receive a PPP loan must certify in good faith that current economic uncertainty makes the loan request necessary to support ongoing operations of the applicant. However, borrowers and others expressed concern as to what measures define “necessity” and what documentation is required to prove it. On May 13th,
Many people’s estates typically include IRAs. Be aware that two major laws passed into law recently, the Setting Every Community Up for Retirement Enhancement (SECURE) Act and the Coronavirus Aid, Relief, and Economic Security (CARES) Act, have had a direct effect on IRAs. In a nutshell, the CARES Act waives
The Coronavirus Aid, Relief, and Economic Security (CARES) Act eliminates some of the tax-revenue-generating provisions included in a previous tax law. Here’s a look at how the rules for claiming certain tax losses have been modified to provide businesses with relief from the novel coronavirus (COVID-19) crisis. NOL Deductions Basically,
A natural place to turn when disaster strikes is insurance. The very reason you pay premiums and deal with the paperwork is to have these risk management policies in place when necessary. But, when it comes to business interruption coverage, you may have to adjust your expectations if you intend
Financial statements aren’t particularly meaningful without a relevant basis of comparison. There are two types of “benchmarks” that a company’s financials can be compared to — its own historical performance and the performance of other comparable businesses. Before you conduct a benchmarking study, however, it’s important to make normalizing adjustments
As a result of the coronavirus (COVID-19) crisis, your business may be using independent contractors to keep costs low. But you should be careful that these workers are properly classified for federal tax purposes. If the IRS reclassifies them as employees, it can be an expensive mistake. The question of
The IRS recently issued Notice 2020-23, expanding on previously issued guidance extending certain tax filing and payment deadlines in response to the novel coronavirus (COVID-19) crisis. This guidance applies to specified filing obligations and other “specified actions” that would otherwise be due on or after April 1, 2020, and before
