New Personal Tax Filing Extension – May 17, 2021.

We were hoping for June 15th but we will take anything we can get at this point.

What we know:
  • This means that you will not owe taxes until May 17 (if you owe on your personal tax returns). 

What we don’t know:
  • Are first quarter estimates due May 17?
  • Are states following suit?

We are still getting weekly changes in tax rules, so we still may be filing extensions for your personal returns so that we do not have to amend because the government changed the rules on us (again!). As you are aware, business extensions were filed last week.
PPP Filing Deadline May Be Extended to May 31st
This is not a new round of funding but is an extension of time to file for the Second Draw PPP funds if you have not yet filed.

The original deadline is March 31st and the House has voted to approve the extension of time. 

Once again, we say, stay tuned.
SBA Loans: Some Payments Deferred Until 2022
While interest accrues during the deferment period, you now have an extended period of time to make payments on some SBA loans. Note that the terms vary, depending on when you received the loan. 
  • For all SBA loans made in 2020: First payment due date is now 24 months from the date of the note (extended 12 months).
  • For all SBA loans made in 2021: First payment due date is now 18 months from the date of the note (also extended 12 months).
  • For pre-2020 disaster loans: you have an additional 12 months deferment of principal and interest. This is the third deferral of these type loans.
North Carolina Revisited
 
We aren’t sure what the legislators are waiting for (maybe for Congress to get all the changes out of their system?) but so far, there has been NO new guidance on the PPP expense addback. So, North Carolina is still not our favorite state. Just saying.

Healthy Workplaces Tax Credit

Yet another tax credit is being introduced into the House. This is a reintroduction of legislation that would give a tax credit to those businesses that reopened safely and responsibly. We will report more on this once it gets further along. 

We are relabeling this legislation the “Keep CPAs Crazy” bill H.R. 1944. Shout out to Dr. C. in SC for letting us know.

And that's a wrap for today!

COLEMAN, UREDA, ALFORD & KAUCHER, PA