From our Friends at Davis and Hodgdon CPAs. COVID-19 Resources for Your Business and Tax Questions
By John Gales
From our Friends at Davis & Hodgdon CPAs
COVID-19 Resources for Your Business and Tax Questions
The COVID-19 pandemic has caused serious anxiety and resulted in many challenges for Vermonters.
There is a plethora of information and new resources that are becoming available every day. With all of this noise, it can be so hard for us to know what to focus on. In an effort to assist you and connect you with the general tax and business-related information that is most relevant to you, we are gathering the latest articles along with curated lists of resources.
The CARES Act
Tax aspects of the CARES Act:
The CARES Act: Healthcare, Benefits, Retirement, Business Provisions:
Income Tax Issues
The deadlines for federal and Vermont tax filing have been moved to July 15 and this has an impact on several other tax-related issues including quarterly estimate payments as well as IRA and HSA contributions. See the links below for more information.
IRS Coronavirus Tax Relief:
Federal and State Due Dates and Payment Dates
- IRS Q&A: https://www.irs.gov/newsroom/filing-and-payment-deadlines-questions-and-answers#collapseCollapsible1585070689109
Change a Scheduled Payment to New July Due Date:
Vermont Dept. of Taxes Coronavirus Updates
- Regular Coronavirus Updates: https://tax.vermont.gov/coronavirus
- Vermont tax relief FAQ: https://tax.vermont.gov/sites/tax/files/documents/FS-1272.pdf
SBA Disaster Assistance Loans
The SBA Disaster Assistance Program for COVID-19 will be an Economic Injury Loan. The Loan program provides small businesses of any size with working capital loans of up to $2 million that can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing.
- Apply for this loan here: https://disasterloan.sba.gov/ela/
- Sample application to view what documentation is needed: Click here
- Small business guidance and loan resources: https://www.sba.gov/page/coronavirus-covid-19-small-business-guidance-loan-resources
- Eligible SBA lenders in Vermont: https://www.sba.gov/offices/district/vt/montpelier/resources/vermont-participating-lenders
Families First Coronavirus Response Act (FFCRA)
The FFCRA provides several responses to address the ongoing coronavirus pandemic including leave for employees affected by coronavirus through the Emergency Family and Medical Leave Expansion Act (EFMLA) and the Emergency Paid Sick Leave Act (EPSLA). The FFCRA also provides refundable tax credits for employers providing the required paid family and sick leave to employees in connection with this public health emergency.
- What should we do first? https://www.bmdllc.com/resources/blog/ffcra-signed-into-law-what-should-we-do-first-with-tax-insights-from-apple-growth-partners/
- Paid leave requirements: https://www.dol.gov/agencies/whd/pandemic/ffcra-employer-paid-leave
- What the FFCRA bill means for small business owners and the self-employed:https://www.marketwatch.com/story/what-the-family-first-coronavirus-relief-bill-means-for-small-business-owners-and-self-employed-people-2020-03-21
- FFCRA Employer Paid Leave Requirements: https://www.dol.gov/agencies/whd/pandemic/ffcra-employer-paid-leave
Employer Cheat Sheet for the Leave Requirements
Reimbursement for Businesses
Should my business consider layoffs before the new law comes into effect?
FFCRA poster for employers:
General Business Issues
Unemployment Benefits Eligibility FAQs:
Guidance for Vermonters Who Owe Meals and Rooms Tax or Sales and Use Tax
- The Vermont Department of taxes will provide some relief to Vermont businesses who owe Meals and Rooms Tax or Sales and Use Tax: https://tax.vermont.gov/press-release/upcoming-vermont-tax-due-date-guidance
Small Business COVID-19 Response Checklist
- Organized into 4 categories: Manage and Plan Cashflow, Debt Options, Employment Ideas, Tax Law Changes: https://www.biggskofford.com/updated-march-23-covid-19-small-business-response-checklist/
Stay Home/Stay Safe FAQ for Business Owners
COVID-19 Small Business Resource Hub
COVID-19 Guidance for Vermont Businesses (Vermont Agency of Commerce and Community Development)
- VBSR Webinar Series: Coronavirus Response Resources for Businesses: https://vbsr.org/vbsr-resources/planning-preparing-for-covid-19/
- Business Insight for COVID-19 including webcasts: https://rsmus.com/economics/coronavirus-resource-center.html
- Steering your budget amid coronavirus uncertainty: https://www.fm-magazine.com/podcast/budgeting-agility-amid-coronavirus-uncertainty.html