COVID-19 Resources - Accolade Accounting

COVID-19 has rapidly changed the way that we interact with each other and conduct business. In response, there have been many Federal and State tax changes affecting business and personal finances.

New information is coming out and changing so quickly that we are relying on our partners to provide the most updated results as we guide our clients through this difficult time.

If you need help deciphering the information, filing tax returns or taking other action, please do not hesitate to contact us. Check back here for updates on the latest news and information from official sources.

Click the green links below to go to the full resources.

For those that like reading, here is the full text of the CARES Act

SMALL BUSINESS

INDIVIDUALS

GOVERNMENT UPDATES

LOANS AND GRANTS

The Economic Injury Disaster Loan Application

Affected taxpayers are eligible for working capital loans up to $2 million and up to $10,000 as a grant. To apply for the grant, be sure to check the box indicating you want the grant and provide wiring instructions.

PROGRAM GUIDES

The Small Business Owner’s Guide to the CARES Act

From Senator Ben Cardin, this document covers the frequently asked questions regarding the CARES Act initiatives including:

Paycheck Protection Program Loans
Small Business Debt Relief Program
Economic Injury Disaster Loans and Emergency Economic Injury Grants
Small Business Counseling
Small Business Contracting
Small Business Tax Provisions

Paycheck Protection Program

Under the CARES Act, self-employed and small businesses are eligible for federally guaranteed loans that may have portions forgiven if they maintain their payrolls or restore them after the pandemic.

Updated Paper Application

TAX CREDITS

Families First Coronavirus Response Act

Through payroll tax credits, this act provides temporary relief to eligible employers with fewer than 500 employees via the Emergency Family Medical Leave Expansion Act and the Emergency Paid Sick Leave provision. Effective April 2, 2020.

Emergency Family Medical Leave Expansion

Extended eligibility for (up to 12 weeks) job-protected leave under the FMLA under limited childcare-related circumstances. Under the Public Health Emergency Leave provided in this act, eligible employees taking leave more significant than ten days will receive paid leave up to $200 per day up to $10,000. The employer is reimbursed via tax credits on their payroll tax return.

Emergency Paid Sick Leave

Emergency paid sick leave of up to $511 per day up to $5,100 reimbursed in the form of payroll tax credits. Employers must provide this to eligible employees who:

Are subject to a Federal, State, or local quarantine or Isolation order related to COVID-19.
Have been advised by a healthcare provider to self-quarantine due to COVID-19 symptoms
Need to obtain a medical diagnosis or care related to COVID-19.
Are responsible for caring for or assisting an individual under self-quarantine or a quarantine order
Must care for child due to school or place of care closure resulting from COVID-19.

Families First Coronavirus Response Act

This Act includes many provisions to help individuals in different areas including:

Nutrition: Student MEALS Act, Child Nutrition Response Act, and SNAP Waivers.
Paid Leave & UI: Emergency Family & Medical Leave Expansion Act, Emergency Unemployment Insurance Stabilization & Access Act of 2020, and the Emergency Paid Sick Time Leave. Additional details are available from the Department of Labor here.
Health Provisions: These cover COVID-19 testing coverage by insurance type.

See the U.S. Department of Labor Q&A here.

Coronavirus Aid, Relief, and Economic Security (CARES) Act

The key pieces of this Act that help individuals include:

Unemployment Insurance Provisions: Expanded Unemployment Insurance (UI) for workers including $600/week benefit for up to 4 months, temporarily broadening who is eligible to receive UI benefits to include self-employed, freelancers/gig workers, and contractors.
Recovery Rebate for Individual Taxpayers: The Act provides a $1,200 refundable tax credit for individuals or $2,400 for joint filers and a flat $500 per child. Click here to see more details.
- Access the Stimulus Check Calculator here.
Tax Filing: Deadline to file and pay taxes has been extended to July 15, 2020
Student Loans: Monthly payments on federal loans can be suspended until September 30, 2020 with no added penalties. Employers who offer educational benefits are able to provide up to $5,250 per year in tax-free assistance per employee. These payments are excluded from income and payroll taxes for the employee and employer. Those working towards loan forgiveness in the Public Service Loan Forgiveness Program will be able to count any non-payments towards the 120 required payments. Click here for more details.
Insurance: All private insurance plans are required to cover tests, treatments, and vaccines related to COVID-19.
Other Provisions: A number of provisions were also made in the interest of public health and safety including:
- Funding to hospitals, community health centers, veterans’ health care, and the CDC. There is funding for child nutrition, Supplemental Nutrition Assistance Program (SNAP), and to food banks.
- Increases access to necessary drugs, diagnostics, vaccines, and other treatments. Also gives funding to the FDA to expedite any new drugs.
- The Telehealth Services During Certain Emergency Periods Act of 2020 (TSDCEPA) waives certain FCC guidelines and increases funding to boost Telehealth Program. This extends the program to cover areas such as hospice care, dialysis, home health, and veteran care. Medicare will provide the same coverage for telehealth services as in-person visits. Some high deductible health plans with health savings accounts (HSAs) will cover telehealth services. More info here.

INTERNAL REVENUE SERVICE

Coronavirus Tax Relief

This page is where the IRS is posting all updates related to official tax relief. This offers additional detail to the initiatives inside the IRS as they deliver on the promises of Congress.