IRS guidance on “coronavirus-related” retirement plan distributions
July 15, 2020 COVID-19
IRS guidance on “coronavirus-related” retirement plan distributions

In Notice 2020-50, the IRS recently provided guidance on “coronavirus-related distributions” from retirement plans under Section 2202 of the Coronavirus Aid, Relief, and Economic Security (CARES) Act. Here are some pertinent details for employers. Pension plans The Notice points out that Sec. 2202 doesn’t change the rules for when plan distributions are permitted to be made from employer […]

Main Street Lending Program
July 8, 2020 COVID-19
Main Street Lending Program

By Kaveh Imandoust, J.D., M.B.T., CPA; and Nicholas Sanchez, J.D., LL.M. Taxation   Small and medium-sized businesses (SMBs) are integral to the U.S. economy and create jobs for a large share of the U.S. workforce; however, the spread of COVID-19 has substantially disrupted economic activity in many sectors of the economy – especially for SMBs. […]

Asset impairment is expected to hit 2020 financial statements
June 25, 2020 COVID-19
Asset impairment is expected to hit 2020 financial statements

Some companies are expected to report impairment losses in fiscal year 2020 because of the COVID-19 crisis. Depending on the nature of your operations and assets, the pandemic could be considered a “triggering event” that warrants interim impairment testing. Examples of assets that may become impaired include long-lived assets (such as equipment and real estate), […]

COVID-19-related deadline relief affects HSAs and retirement plans
June 19, 2020 COVID-19
COVID-19-related deadline relief affects HSAs and retirement plans

The IRS recently issued another notice extending tax deadlines because of the COVID-19 pandemic. Notice 2020-35 supplements IRS Notice 2020-23 and earlier guidance by extending the deadlines for certain additional time-sensitive actions relating to employment taxes; exempt organizations; employee benefit plans, including 401(k)s; Health Savings Accounts (HSAs); IRAs; and other specified accounts. With some exceptions, the extensions […]

Paycheck Protection Program Flexibility Act
June 16, 2020 COVID-19
Paycheck Protection Program Flexibility Act

By Nicholas Sanchez, J.D., LL.M. Taxation; and Kaveh Imandoust, J.D., M.B.T., CPA Earlier this month the Paycheck Protection Program Flexibility Act of 2020 (H.R. 7010, PPPFA) was signed into law. If you’re not already familiar, the Paycheck Protection Program (PPP) is a provision included in the CARES Act that provides forgivable loans to small businesses to […]

Important Clarifications Regarding the Paycheck Protection Program
May 19, 2020 COVID-19
Important Clarifications Regarding the Paycheck Protection Program

By Nicholas Sanchez, J.D., LL.M. Taxation; and Kaveh Imandoust, J.D., M.B.T., CPA   As agencies continue to release guidance on the relief provisions contained in the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), we are beginning to find answers to questions for which we previously could only speculate. In the last two weeks, […]

Recent efforts to corral COVID-19 fraudsters
May 18, 2020 COVID-19
Recent efforts to corral COVID-19 fraudsters

The novel coronavirus (COVID-19) pandemic has opened the floodgates to scam artists attempting to profit from sick, anxious and financially vulnerable Americans. On the frontlines fighting fraud are the Federal Trade Commission (FTC), U.S. Justice Department (DOJ) and other government agencies. Here are some of the fraud schemes they’re actively investigating —  and the perpetrators […]

Give employees a voice to report fraud
May 14, 2020 COVID-19
Give employees a voice to report fraud

Before the novel coronavirus (COVID-19) pandemic struck, employees who suspected occupational fraud in their organizations had multiple options for notifying their employers. For example, they could use interoffice mail to send information anonymously or meet with HR personnel in person. Reporting options for employees working from home are more limited — particularly if they wish […]

Subchapter V: A silver lining for small businesses mulling bankruptcy
May 12, 2020 COVID-19
Subchapter V: A silver lining for small businesses mulling bankruptcy

Many small businesses continue to struggle in the wake of the coronavirus (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 silver lining: A new bankruptcy law […]

Do you have tax questions related to COVID-19? Here are some answers.
May 8, 2020 COVID-19
Do you have tax questions related to COVID-19? Here are some answers.

The coronavirus (COVID-19) pandemic has affected many Americans’ finances. Here are some answers to questions you may have right now. My employer closed the office and I’m working from home. Can I deduct any of the related expenses? Unfortunately, no. If you’re an employee who telecommutes, there are strict rules that govern whether you can […]

FFCRA update: DOL clarifies issues related to paid leave
May 7, 2020 COVID-19
FFCRA update: DOL clarifies issues related to paid leave

The U.S. Department of Labor’s (DOL’s) Wage and Hour Division recently posted additional guidance regarding paid sick and emergency childcare leave under the Families First Coronavirus Response Act (FFCRA). Much of the guidance offers details and clarifications on the calculation of paid leave, including: How to calculate an employee’s regular rate of compensation, Whether the […]

Benchmarking: Why normalizing adjustments are essential
May 5, 2020 COVID-19
Benchmarking: Why normalizing adjustments are essential

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 to avoid any misleading comparisons. […]