24 Mar U.S. Tax Related Summary Due to COVID-19

SUMMARY OF TAX RELATED TOPICS DUE TO COVID-19 as of March 23, 2020

In response to recent tax developments, we put together a summary of tax-related changes due to the COVID-19 public health crisis. We will keep this post updated as more information becomes available.
 

IRS – Federal

1. Tax Filing extended 90-Days from April 15, 2020 to July 15, 2020. (This affects C-Corp, Sole Proprietor, LLC (single member), Estates/Trust and Personal Tax Returns).
2. If you defer payments on your income taxes for up to 90 days after the April 15 filing deadline, any interest or penalties will be waived. The new deadline will apply to up to $1 million in payments for individuals and up to $10 million for corporations.

Franchise Tax Board – State

1. See this link for a full listing of COVID-19 Extensions to file and pay for any entity type. This applies to California State tax returns only.
2. https://www.ftb.ca.gov/about-ftb/newsroom/covid-19/extensions-to-file-pay.html

CDTFA – Sales & Use Tax

1. See this link for more information: https://services.cdtfa.ca.gov/boe/express_login_code.jsp
2. During the 60-day window specified in the Governor’s COVID-19 Executive Order, CDTFA has been able to make it easier for taxpayers to request relief. Please see our COVID-19 State of Emergency page for additional details.
3. CDTFA wants to remind taxpayers they can call our customer service center at 1-800-400-7115 with questions about filing, extensions, or tax relief.

San Diego County Treasurer-Tax Collector – Property Tax

1. See this link for information on the 2nd installment due April 10, 2020.
2. https://www.10news.com/news/local-news/san-diego-county-treasurer-tax-collector-branches-closed-topublic

EDD – CA State Payroll Tax

1. See this link for information on a 60-day extension on filing and paying California state payroll tax and returns. We recommend consulting with your payroll service to request the extension.
2. https://www.edd.ca.gov/about_edd/coronavirus-2019.htm
3. Employers experiencing a hardship as a result of COVID-19 may request up to a 60-day extension of time from the EDD to file their state payroll reports and/or deposit state payroll taxes without penalty or interest. A written request for extension must be received within 60 days from the original delinquent date of the payment or return.
4. For questions, employers may call the EDD Taxpayer Assistance Center. 1-888-745-3886

IRS – Federal Payroll Tax

 
See this link for information on Federal Payroll Tax credits, if your company has employees.
https://www.irs.gov/newsroom/treasury-irs-and-labor-announce-plan-to-implement-coronavirusrelated-paid-leave-for-workers-and-tax-credits-for-small-and-midsize-businesses-to-swiftly-recover-thecost-of-providing-coronavirus

We wish you & yours good health and good fortune during this time, we’ll be here to help in any way possible.

We remain committed to you and your business.

Best Regards,

Betty Moore
President
Bottom Line Management

Carlsbad Bookkeeping & Accounting Services

Betty Moore is the numbers nerd behind Bottom Line Management.

Betty and her staff will save your business time and money by turning piles of receipts into complete financials with every penny accounted for.

Here at Bottom Line Management, we love keeping track of ALL the financial activity in your business, down to the penny!

This will help alleviate any financial problems and keep you in the know. We take pride in our clients and their company so they can have peace of mind.

We let you focus on what you do best — running your own business.

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