Anthony Sykes & Company

     The Internal Revenue Service ( IRS ) is working very hard to make sure that as many as possible are able to receive their Economic Impact Payments ( EIP ). This would include Taxpayers who have not filed in the past 3 years. This is the primary way to determine eligibility for a payment. So many filed this year to make sure they received a payment.            However, there was a good chance that they owed some taxes to the IRS . When the bill is sent in the mail, it now comes with a QR code. It can simply be scanned with any mobile device. This process takes the Taxpayer securely to IRS.gov where they can find out the status of their EIP . In addition they will be able to create or access their account. While this is a step forward for the IRS , these tools are not available 24 hours.

     The Internal Revenue Service ( IRS ) is working very hard to make sure that as many as possible are able to receive their Economic Impact Payments ( EIP ). This would include those in low-income and underserved communities. They often do not normally need to file Tax Returns and may not be aware that they can qualify for this payment. The deadline to register to receive this payment has been moved back to November 21 .      To speed up this process and make it as successful as possible, the IRS has declared November 10 as “ National EIP Registration Day ”. It is estimated that 8 million people have registered for the EIP using the Non-Filers tool on IRS.gov since the spring, and many more still need to be reached. That is the reason for this special push, which will include reaching out to those experiencing homelessness. Information explaining what is needed will be translated in 35 languages. What about those who need to file, but haven’t done so in the past 3 years or jus

     The Paycheck Protection Program ( PPP ) has been a very useful tool to help many businesses stay open during these challenging times. However, there are many questions surrounding when is the best time to submit the applications for forgiveness of these loans. There are different ideas, but this series of posts has shed some light on what to do in different situations.      This post will give the best reason why a borrower might want to wait to submit their application. Some businesses have potential forgiveness reductions . Our last post discussed how fewer full-time employees or reductions in salary would impact the qualified expenses that could be claimed.      It may be best for some of these businesses to wait until after December 31 to file their applications to see if they were able to restore any of their employees and/or salaries. That would allow them to qualify for what are known as Safe Harbors and not have to reduce their forgiveness amounts. Applying too early

     The Paycheck Protection Program ( PPP ) has been a very useful tool to help many businesses stay open during these challenging times. However, there are many questions surrounding when is the best time to submit the applications for forgiveness of these loans. There are different ideas, but this series of posts will shed some light on what to do in different situations.      The last post shared why a borrower might apply early and may want to wait. Another reason to wait is if the borrower has reductions to forgiveness due to fewer full-time employees or reductions in salary . It would be best to wait until the end of their covered period. This is because the reduction applies to all qualified expenses, not loan forgiveness. At the end of the covered period all the expenses can be added and then reduced by the necessary amount. If this is greater than the loan, a borrower can still qualify for full forgiveness. A Qualified Tax Professional is essential in guiding you through

     The Paycheck Protection Program ( PPP ) has been a very useful tool to help many businesses stay open during these challenging times. However, there are many questions surrounding when is the best time to submit the applications for forgiveness of these loans. There are different ideas, but this post and the ones that follow will shed some light on what to do in different situations.      If you are using the last of funds or coming to the end of the forgiveness period, the application is not required until 10 months after the end of that forgiveness period. With that understanding, you do not have to wait. If the money’s all gone and you are confident that full forgiveness can be reached, it makes sense to apply. This is one reason why it makes sense to wait.      Applying early will not change forgiveness reductions . For example, if a business has reduced salaries of employees by 25%, that must be accounted for during the entire 8 or 24 week period. It will reduce the ove