Accounting & Tax News

(Accounting Today) Interest in opportunity zones peaks as higher rates loom. The real possibility of higher capital gains rates has fueled interest by investors in opportunity zone funds. Learn more.

(CNBC) Wages are rising, but inflation may have given workers a 2% pay cut. Average hourly wages grew 3.6% in June, relative to last year, the most in more than a decade. However, inflation essentially gave the average worker about a 2% pay cut, according to the Bureau of Labor Statistics. Read more.

(Bloomberg) U.S. consumer confidence improved for a sixth straight month in July to a fresh pandemic high as Americans grew more optimistic about current business and labor market conditions. The Conference Board’s index rose to 129.1 from a revised 128.9 reading in June, according to the group’s most recent report. Economists in a Bloomberg survey had called for a decline to 123.9. Inflation expectations eased slightly -- though remain elevated -- while buying plans strengthened. Read more.

(Gallup) Gallup's latest global emotions report. Find out which countries and areas were most stressed, and which were most resilient during the COVID-19 pandemic. Download the 2021 report for the latest on emotional wellbeing around the world.

(New York Times) Economy recovers pandemic losses, but faces new test. Gross domestic product grew 1.6 percent in the second quarter, the latest gauge of a rebound that could be challenged by the Delta variant of the coronavirus. Read more.

(Construction Dive) Contractors mitigate high prices, supply chain delays with lean construction tactics. For struggling contractors, efficiency-focused construction principles have been a path to survival. Learn more.

(New Jersey Business) The New Jersey Economic Development Authority (NJEDA) announced a $75 million extension of the commercial component of the Economic Redevelopment and Growth (ERG) Program. The Authority also announced that the extended Residential ERG Program, which began accepting applications in June, has been expanded from $50 million to $125 million. More information about the ERG Program is available at https://www.njeda.com/erg. Learn more.

(Accounting Today) IRS offers extra guidance on COBRA coverage aid under American Rescue Plan. Notice 2021-46 offers guidance in the form of questions and answers on issues relating to the application of that provision and expands on earlier guidance provided in May. The notice that the IRS posted answers questions including the availability of premium assistance for individuals who are eligible for an extension but who hadn’t elected it, as well as whether premium assistance for vision or dental-only coverage would end due to eligibility for other health coverage that doesn’t include vision or dental benefits. Read more.

(IRS.gov) Paid leave credit available for providing leave to employees caring for individuals obtaining or recovering from a COVID-19 immunization. The IRS updated frequently asked questions (FAQs) on the paid sick and family leave tax credits under the American Rescue Plan Act of 2021 (ARP). The updates clarify that eligible employers can claim the credits for providing leave to employees to accompany a family or household member or certain other individuals to obtain immunization relating to COVID-19 or to care for a family or household member or certain other individuals recovering from the immunization. Learn more.

(Philadelphia Business Journal) No jab, no job: How employers can mandate the Covid-19 vaccine. Even before the recent uptick in Covid-19 cases, more companies were contemplating mandating the Covid-19 vaccine for employees. Learn why.

(Philadelphia Business Journal) CDC reverses course on masks for fully vaccinated, puts employers on the spot. The Centers for Disease Control and Prevention has revised its recommendations for fully vaccinated individuals, and the change could pose new headaches for employers. Learn why.

(Small Business Administration) SBA Announces Opening of Paycheck Protection Program Direct Forgiveness Portal. A  streamlined application portal will be available to allow borrowers with Paycheck Protection Program (PPP) loans $150,000 or less through participating lenders to apply for forgiveness directly through the SBA. The new forgiveness platform will begin accepting applications from borrowers on August 4th, 2021. Read more.

Feel free to contact any member of our team at (610) 828-1900 (PA) or (732) 341-3893 (NJ) with questions. Rich Higgins, CPA, managing principal – New Jersey office can be contacted at Richard.Higgins@McCarthy.CPA. I can be reached at Marty.McCarthy@McCarthy.CPA. As always, we are happy to help.