CARES Act Changes To RMDs For 2020

CARES Act Changes To RMDs For 2020

2020 is a unique year as far as required minimum distributions (RMDs) are concerned. The CARES Act has suspended the requirement for most 2020 IRA distributions–including some 2019 distributions that you might have personally elected to delay until 2020. For our retirees who must take annual withdrawals from their retirement accounts, here is a huge tax saving opportunity for 2020!

Please see this article from Forbes for more details about these suspended RMDs.

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Second Quarter Estimated Tax Payments Now Due July 15th

Second Quarter Estimated Tax Payments Now Due July 15th

Late last week the federal government extended the due date for the 2020 second quarter estimated tax payment from June 15 to July 15. This means that individual tax returns, as well as individual first quarter and second quarter estimated tax payments are now all due on July 15.

Additionally, trusts, estates, corporations, and other non-corporate tax filers with filing or payment due dates between April 1 and before July 15 are now also extended to July 15.

When paying individual taxes and estimates, taxpayers have the option to send the IRS a check, or payments also can be made electronically through […] Read more

Economic Impact Checks for Non-Filers: How to Provide Your Current Information to the IRS

Economic Impact Checks for Non-Filers: How to Provide Your Current Information to the IRS

At Nichols & Company, we know many of you are assisting elderly parents or grandparents right now. In an effort to support you, we wanted to share that the IRS has launched a new tool to assist non-filers in registering their current information for their Economic Impact Payment.

The new tool, created in conjunction with FreeFile Alliance, is designed for those who were not required to file a 2018 or 2019 tax return. The Non-Filers: Enter Payment Info tool allows these non-filers to supply the IRS with their current address, number of dependents and direct deposit information.

Distribution of Economic Impact Payments to […] Read more

What’s Up At The IRS?

What’s Up At The IRS?

If you’ve tried contacting the IRS recently, you might have noticed a few things have changed. Here are a few highlights you may wish to be aware of:

1) 70,000+ IRS workers are trying to work remotely. This has resulted in the closure of most local offices, leaving no one to answer the phones for a few weeks. Even the Practitioner Priority Service line and local Taxpayer Assistance Centers are closed for the time being.

2) If you were on a payment plan (ex: for back taxes), your payments are temporarily suspended until July 15th. However if you are interested in establishing a […] Read more

Wondering If You Qualify For The Government’s Upcoming Economic Impact Payments?

Wondering If You Qualify For The Government’s Upcoming Economic Impact Payments?

To help ease the financial effects of the COVID-19 pandemic, the federal government is planning to send stimulus checks to all taxpayers in the coming weeks.

For your planning purposes, we wanted to share with you their guidelines for determining eligibility. It is important to note that children 17 and older who are claimed by their parents or elderly adults claimed as dependents on a tax return are not eligible for the $500 payments.  

Who Qualifies?

Individuals with an adjusted gross income (AGI) up to $75,000 or married couples filing jointly with an AGI up to $150,000 will receive the full payment of […] Read more

Additional Loan Options for Struggling Small Business Owners

Additional Loan Options for Struggling Small Business Owners

There are a couple additional loan options for small business owners who are struggling right now: the Paycheck Protection Program (PPP) and Economic Injury Disaster Loans (EIDL).

The PPP offers applicants funds in the form of loans that can be fully forgiven when used for payroll costs, interest on mortgages, rent, and utilities. (Expenses must be equal to loan amount for forgiveness.). Loan payments are also deferred for six months. All small businesses with 500 or fewer employees are eligible.

An EIDL loan can provide a small business an advance of up to $10,000 (which may not need to be repaid) and […] Read more