Brooks CPA, PLLC

IRS Notice 2020-18

This notice extended the filing deadline for personal and corporate tax returns until 7/15/20 that were originally due 4/15/20.

This new deadline will give you an automatic extension to file and pay your 2019 income taxes until 7/15/20 with no penalties or interest.  You do not need to file a Form 7004 or Form 4868 requesting an extension.

This also applies to the 1^st estimated tax payment.

North Carolina has also extended the filing deadlines.  NC will waive penalties but NOT interest.  Interest will begin 4/16/20 on any income tax originally due on 4/15/20.  You can file and pay your tax due in full or make a payment to NC with an extension request by 4/15/20 to avoid interest charges.

Link to the IRS FAQs

https://www.irs.gov/newsroom/filing-and-payment-deadlines-questions-and-answers

 

CARES Act and Stimulus Package

The President signed the Coronavirus Aid, Relief and Economic Security Act (CARES) on March 27, 2020.

Eligible taxpayers will receive checks for $1200 (single or married filing separate taxpayers), $2400 (joint taxpayers) and $500 for each child under the age of 17.

Stimulus check amounts will start phasing out for taxpayers with AGI over $75,000 single and $150,000 joint.

The IRS will use your 2019 tax information or 2018 tax information, if you have not filed 2019 yet, to determine your qualifying payment amount and if you used direct deposit for a refund check this information will also be used to direct deposit stimulus checks.

These payments will not be taxable and will be reconciled on your 2020 return.

 

Small Business Loans/”Paycheck Protection Program”

SBA loans for businesses (including sole proprietors and self-employed) & non-profits

• With fewer than 500 employees; or
• Must have been “substantially affected by COVID-19” which is described as
  • Supply chain disruptions
  • Staffing challenges
  • Decrease in sales or customers
  • Shuttered business

These loans may be eligible for forgiveness of indebtedness in the amount equal to the cost of maintaining payroll continuity and other allowable costs during the covered 8-week period.

Loan forgiveness amounts will be excluded from income

For more information

https://www.sba.gov/page/coronavirus-covid-19-small-business-guidance-loan-resources

Brooks CPA, PLLC is located in Whittier, NC serving clients throughout western North Carolina.

Our firm specializes in small business accounting needs. We have over 10 years of experience working with small businesses. Brooks CPA, PLLC can prepare your monthly financials, including balance sheets, income statements, cash flow reports, bank reconciliation, and handle all of your payroll needs.

Brooks CPA also has over 5 years of experience working with non-profit organizations. We have the specialized skills and knowledge that is unique to these organizations.

 

Brooks CPA, PLLC provides exceptional service to our clients. We build relationships with you while working closely to achieve your financial goals. Our small town style, combined with modern day technology, enables us to provide the business solutions necessary to meet your needs.

Our services include: