COVID-19 Advisory & Resources

Individuals and businesses have been worrying about phishing scams for years, and now there’s a new twist aimed largely at small businesses: voice phishing scams, a.k.a. vishing. A recent alert from the Cybersecurity Infrastructure Security Agency (CISA), acting in conjunction... Read More

On September 30, the Financial Accounting Standards Board (FASB) finalized a rule to defer the effective date of the updated long-term insurance standard for a second time. The deferral will give insurers more time to properly implement the changes amid the... Read More

During this pandemic year, many employees have relied on flexible spending accounts (FSAs) to pay for health care and dependent care costs. This includes expenses related to COVID-19. Employers that offer employees FSAs also reap several benefits. But if you... Read More

From February to August, U.S. manufacturing employment declined by 720,000 due to adverse conditions caused by the COVID-19 pandemic. But the industry has been slowly recovering. The U.S. Bureau of Labor Statistics estimates that the sector’s employment grew by roughly... Read More

Have you been working from home during the COVID-19 crisis? Join the club. Approximately 42% of the American workforce is currently working from home full-time, according to a recent study by the Stanford Institute for Economic Policy Research. Only 26%... Read More

Today, many banks are working with struggling borrowers on loan modifications. Recent guidance from the Financial Accounting Standards Board (FASB) confirms that short-term modifications due to the COVID-19 pandemic won’t be subject to the complex accounting rules for troubled debt... Read More

In the COVID-19-ravaged economy, debts can pile up beyond a borrower’s ability to repay. Lenders sometimes may be willing to forgive (or cancel) debts that are owed by certain borrowers. While debt forgiveness can help struggling borrowers survive financially, it... Read More

Marketplace changes during the COVID-19 crisis have caused many companies to make major strategic shifts in their operations — and some changes are expected to be permanent. In certain cases, these pivot strategies may need to be reported under the... Read More

During the COVID-19 pandemic, some cash-strapped employers may fail to pay over federal income and employment taxes that were withheld from employee paychecks to the U.S. Treasury. In the eyes of the IRS, this is a major tax faux pas... Read More

With both major political party conventions behind us, it’s time to focus on the upcoming national election. Among their many differences, the Republicans and Democrats have widely divergent tax platforms. Do you know where the candidates stand on major business... Read More

The IRS has provided guidance to employers regarding the recent presidential action to allow employers to defer the withholding, deposit and payment of certain payroll tax obligations. The three-page guidance in Notice 2020-65 was issued to implement President Trump’s executive... Read More

The Coronavirus Aid, Relief and Economic Security (CARES) Act made changes to excess business losses. This includes some changes that are retroactive and there may be opportunities for some businesses to file amended tax returns. If you hold an interest... Read More

If you’re experiencing financial distress during the COVID-19 crisis, you might be thinking about tapping into your Roth IRA to improve your cash situation. But before withdrawing money from a Roth account, it’s important to understand the federal income tax... Read More

Economic fallout from the COVID-19 crisis may cause some cash-strapped individuals to default on loans they’ve taken out from company qualified retirement plans, including 401(k) and profit-sharing plans. Defaulting on a plan loan will cause adverse tax and retirement-saving consequences.... Read More

On August 8, President Trump signed four executive actions, including a Presidential Memorandum to defer the employee’s portion of Social Security taxes for some people. These actions were taken in an effort to offer more relief due to the COVID-19 pandemic.... Read More

If your business was fortunate enough to get a Paycheck Protection Program (PPP) loan taken out in connection with the COVID-19 crisis, you should be aware of the potential tax implications. PPP basics The Coronavirus Aid, Relief and Economic Security... Read More

The Families First Coronavirus Response Act (a.k.a. Families First Act) requires that small to medium-sized businesses provide paid leave to employees affected by COVID-19 through two provisions: the Emergency Paid Sick Leave Act and the Emergency Family and Medical Leave... Read More

The COVID-19 pandemic has shaken the global economy and drastically altered the way we conduct business. Supply chains worldwide are experiencing considerable disruptions as the U.S. and other countries continue to shut down in an effort to contain the coronavirus.... Read More

The Coronavirus Aid, Relief, and Economic Security (CARES) Act may be best known for its provisions designed to shore up the economy as the nation copes with the COVID-19 pandemic. These include distributing Economic Impact Payments to individuals and offering... Read More

Guidance released from the Treasury and Small Business Association (SBA) Monday, June 22 declares that Paycheck Protection Program (PPP) recipients can apply for loan forgiveness before the end of their Covered Period.   The 34-page interim rule addresses a few... Read More

Economic fallout from the COVID-19 crisis will cause many rental real estate properties to run up tax losses in 2020 — and possibly beyond. Here’s a summary of important federal income tax rules for such losses.   What You Can... Read More

The Paycheck Protection Program Flexibility Act (PPPFA) was passed on June 5th with the goal of making it easier for Paycheck Protection Program (PPP) loan recipients to qualify for forgiveness. Here are some of the major changes brought by the... Read More

The Small Business Administrator Jovita Carranza and U.S. Treasury Secretary Steven Mnuchin recently announced that recipients of Paycheck Protection Program (PPP) loans of $2 million or more should expect an audit if they apply for loan forgiveness. Here are some... Read More

Many people are currently working from home to help prevent the spread of the novel coronavirus (COVID-19). Your external auditors are no exception. Fortunately, in recent years, most audit firms have been investing in technology and training to facilitate remote... Read More

The IRS has issued guidance clarifying that certain deductions aren’t allowed if a business has received a Paycheck Protection Program (PPP) loan. Specifically, an expense isn’t deductible if both: The payment of the expense results in forgiveness of a loan... Read More

On May 13, the Small Business Administration (SBA) updated its Paycheck Protection Program Frequently Asked Questions page to clarify how they will determine if a borrower applied in good faith out of monetary necessity. It states: “Any borrower that, together... Read More

The $2.2 trillion Coronavirus Aid, Relief, and Economic Security (CARES) Act delivers good news to individuals and businesses, including valuable tax-relief measures. Some of that tax relief is retroactive. These provisions can affect 2018 and 2019 returns that have already... Read More

In light of the novel coronavirus (COVID-19) pandemic, many businesses are interested in donating to charity. In order to incentivize charitable giving, the Coronavirus Aid, Relief and Economic Security (CARES) Act made some liberalizations to the rules governing charitable deductions.... Read More

This $50 million Grant Fund offers working capital to provide interim relief for Maryland small businesses and nonprofits whose operations were disrupted due to COVID-19. Terms and conditions Grants of up to $10,000, which cannot exceed 3 months of operating... Read More

The COVID-19 pandemic is wreaking havoc on the world economy, and businesses in all industries are feeling the effects. In these uncertain times, it’s imperative that business leaders have a strategy in place for managing cash flow. Here are a... Read More

Part of the CARES Act, the Paycheck Protection Program (PPP) offers loans to small businesses impacted by the COVID-19 pandemic. A business owner can borrow up to 2.5 times their monthly payroll costs or $10 million, whichever is greater. The... Read More

The law providing relief due to the coronavirus (COVID-19) pandemic contains a beneficial change in the tax rules for many improvements to interior parts of nonresidential buildings. This is referred to as qualified improvement property (QIP). You may recall that... Read More

The Coronavirus Aid, Relief, and Economic Security (CARES) Act unwinds some of the tax-revenue-generating provisions included in a previous tax law. Here’s a look at how the rules for claiming certain tax losses have been modified to provide businesses and... Read More

With much of the country currently on lockdown due to the novel coronavirus (COVID-19) crisis, many nonessential businesses have been shuttered. As a result, millions of small business owners find themselves on the brink of financial disaster. For those with... Read More

The Coronavirus Aid, Relief, and Economic Security (CARES) Act, signed into law on March 27, 2020, contains several tax-related provisions for businesses hit by the novel coronavirus (COVID-19) crisis. Those provisions will also have an impact on financial reporting. Companies that... Read More

The IRS has issued guidance providing relief from failure to make employment tax deposits for employers that are entitled to the refundable tax credits provided under two laws passed in response to the coronavirus (COVID-19) pandemic. The two laws are... Read More

The coronavirus (COVID-19) pandemic has shut down many sectors of the U.S. economy, causing widespread job losses. Over 10 million Americans applied for unemployment benefits in March, according to the U.S. Department of Labor. And far more claims are expected... Read More

At long last, Congress passed legislation to correct a drafting error related to real estate qualified improvement property (QIP). The correction is part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which was signed into law on March... Read More

Efforts to contain the spread of the novel coronavirus (COVID-19) have led to suspension of many economic activities, putting unprecedented strain on businesses. The Securities and Exchange Commission (SEC) recently issued guidance to help public companies provide investors and other... Read More

The IRS is warning taxpayers to beware of new coronavirus related tax scams concerning the forthcoming economic impact payments, also referred to as stimulus payments or rebates. Under the Coronavirus Aid, Relief, and Economic Security (CARES) Act signed into law... Read More

The IRS has provided guidance for taxpayers reporting the employee retention credit for certain employers subject to closure due to the COVID-19 crisis, including that the credit with respect to wages paid in March should be reported on the 2nd... Read More

The recently enacted Coronavirus Aid, Relief, and Economic Security (CARES) Act provides a refundable payroll tax credit for 50% of wages paid by eligible employers to certain employees during the COVID-19 pandemic. The employee retention credit is available to employers,... Read More

The coronavirus (COVID-19) pandemic is causing economic hardship for many people and businesses in the United States. On March 27, the $2.2 trillion Coronavirus Aid, Relief, and Economic Security (CARES) Act was signed into law by President Trump. A key... Read More

The Coronavirus Aid, Relief and Economic Security (CARES) Act was signed into law on March 27. Among other economic relief measures, the new law allows large public banks to temporarily postpone the controversial current expected credit loss (CECL) standard. Here are... Read More

The Paycheck Protection Program (“PPP”) authorizes up to $349 billion in forgivable loans to small businesses to pay their employees during the COVID-19 crisis. All loan terms will be the same for everyone. The loan amounts will be forgiven as... Read More

By a unanimous vote on March 25, the Senate passed a third coronavirus relief package, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act, H.R. 748, the Act). Here are the tax relief provisions for businesses that are contained... Read More

On Friday evening, President Trump signed the Coronavirus Aid, Relief, and Economic Security (CARES) Act, a $2 trillion stimulus package aimed to help individuals, businesses and public institutions who have been affected by the COVID-19 pandemic.   Among its many provisions,... Read More

Yesterday Governor Larry Hogan announced the closure of all non-essential Maryland businesses, and there’s hardly an industry that hasn’t been impacted.   Hogan also announced new COVID-19 business relief programs available through the Department of Commerce and the Department of Labor. These... Read More

Governor Larry Hogan issued an order instructing all non-essential businesses in Maryland to close at 5:00 pm today until further notice. At this time, the Office of Legal Counsel does not require the following businesses, organizations, and facilities to close:... Read More

Businesses across the country are being affected by the coronavirus (COVID-19). Fortunately, Congress recently passed a law that provides at least some relief. In a separate development, the IRS has issued guidance allowing taxpayers to defer any amount of federal... Read More