PAYCHECK PROTECTION PROGRAM – FUNDING DEAL EXPECTED
As the Senate is set to reconvene Tuesday April 21, 2020, various news outlets are reporting a potential deal to replenish the funding for the Paycheck Protection Program may be reached. According to CNBC today, the deal expected tomorrow would allocate an additional $310 billion into the Program, setting aside $60 billion for rural and minority groups.
The CAREs Act allocated $349 billion to the first tranche of funding which was exhausted April 16th, less than two weeks after the PPP application system went live. Details about the loans are available HERE.
The deal is also expected to include $75 billion in aid for hospitals, $60 billion for the Small Business Administration’s Economic Injury Disaster Loan Program and $25 billion to expand virus testing across the U.S.
JOIN US THURSDAY FOR A PPP WEBINAR
We have hosted 8 webinars to provide information as it evolves and to answer your questions on the PPP and other resources. Our next session is Thursday at noon. Please register below to join us and get answers to your questions.
When: Apr 23, 2020 12:00 PM Eastern Time (US and Canada)
Topic: COVID-19 Lending Programs
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IRS posts FAQs on paid sick and family leave
The updated FAQs provide guidance on calculating the credit and health care expenses, describes how to claim the credit (including the reduction of payroll tax deposits), guidance for self-employed individuals to claim the credit and other information.
Bookmark the page for reference, the IRS said it will continue to update the FAQ to address issues and questions as they are raised.
Gov. Tom Wolf extends stay-at-home order to May 8, will allow curbside liquor pickup and online car sales
Vehicle Sales May Be Conducted Online
The governor will sign Senate Bill 841 later today that approves qualified Pennsylvania notaries public to perform remote online notarizations, which will allow auto dealerships to conducted limited car sales and leasing operations through online sales, as a notary is required to complete the transaction.
Construction With Strict Guidelines Resumes Friday, May 8
Public and private residential and non-residential construction may resume statewide starting Friday, May 8, in accordance with safety guidance that will be issued by the administration shortly.
PLCB Begins Limited Curbside Pickup
The Pennsylvania Liquor Control Board (PLCB) today began accepting orders by phone for curbside pickup at 176 locations. Phone orders can be placed between 9 a.m. and 1 p.m., or until reaching a store’s maximum order capacity each day. Curbside pickups will be scheduled from 9 a.m. to 6 p.m. within a few days of order placement. There is a limit of six bottles per order, and credit cards are the only accepted form of payment. At pickup, customers will be required to present identification before the order is delivered.
The PLCB website lists the stores offering curbside pickup. PLCB anticipates expanding the service at more locations in the future. The PLCB website, FineWineAndGoodSpirits.com, is also increasing order capacity.
How to take retroactive 100% bonus depreciation on QIP
The CAREs Act included a technical correction to an error in the Tax Cuts and Jobs Act (TJCA) that made certain qualified improvement property (QIP) ineligible for 100% bonus depreciation. QIP is now 15 year property and eligible for 100% depreciation. The change is effective for tax years beginning after December 31, 2019.
The IRS issued procedures April 17, 2020 describing how taxpayers can take advantage of the recently enacted technical correction to the rules for qualified improvement property (QIP).
QIP is defined as “any improvement made by the taxpayer to an interior portion of a building which is nonresidential real property if such improvement is placed in service after the date such building was first placed in service.” It excludes costs for elevators, escalators, structural framework, or building expansions. The CARES act added the words “made by the taxpayer” to the definition.
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We are in this together,
Brinker Simpson & Company, LLC
Disclaimer: This alert is for informational purposes only and does not constitute professional advice. Information contained in this communication is not intended or written to be used as tax advice, & cannot be used by the recipient to avoid penalties that may be imposed under the Internal Revenue Code. We strongly advise you to seek professional assistance with respect to your specific issue(s).