Now that this most unconventional summer is wrapping up, I thought it would be a good time to update you on some important issues.
- I’m moving! – My landlord needed more space to allow for social distancing of his employees so I lost my lease in Monmouth Beach. For now, I will be working out of my home in Red Bank, NJ. The best method to reach me is via my cell phone at (732) 822-6890 or via email at LeighKremer@verizon.net. My office phone number and fax number are also still valid. The move is effective October 1, 2020.
- Economic Stimulus – It is looking less and less like another major economic stimulus bill is coming. Major sticking points include liability protections for businesses and funding for state and local governments. A less robust relief package is more likely. Prospects for a second round of stimulus checks are also fading – but are not dead yet. However there is some reason to hope for small businesses as talk of reviving the very popular Paycheck Protection Program (PPP) has support from both sides in Congress.
- IRS Issues – The IRS has fallen way behind in the processing of paper tax returns and in responding to written correspondence. This is because most IRS offices were completely shuttered due to Covid-19 concerns. The service is starting to make a dent in the backlog, but ongoing virus concerns threaten to bring things to a halt once again.
- Beware of Scams! – Watch out for emails, text messages or phone calls that claim to be from the IRS. This year things seem to be especially bad with scams linked to stimulus payments being a new and significant threat. Seniors are especially vulnerable targets. The IRS normally uses letters to contact taxpayers so any other form of contact is especially suspect. If you are contacted by the IRS for any reason, best to give me a call to verify whether or not the contact is valid.
- PPP Forgiveness Applications – Most of you business owners who received PPP loans have probably applied for forgiveness by now. If not, contact your lender ASAP to see what the procedures are and get the ball rolling. Each lender has their own way of handling things, with most having set-up an online portal to process the applications. Once you have submitted an application deemed complete by your lender, the lender has 60 days to submit the application to the SBA. The SBA then has 90 days to respond with a decision. So be patient.
- Extensions due October 15, 2020 – Many taxpayers who routinely apply for extensions were able to file on-time this year when the IRS extended the deadline to July 15, 2020. However if you were not able to meet that deadline and applied for an extension be aware that the extended deadline remains October 15, 2020.
Please do not hesitate to contact me with any tax, business or accounting related questions. Also, keep me in mind for any friends, family or associates that have tax or accounting issues. I am here year-around and always willing to help. You can always reach me on my cell phone at (732) 822-6890.
I help clients reduce taxes, increase profitability, meet reporting requirements and save valuable time. Contact me to find out how!
Leigh J Kremer, CPA – “I make life less taxing”