Daily Updates
SCHEDULE A CONSULTATIONCheck back for daily updates!
4/16/20
Check the status of your stimulus check by visiting https://www.irs.gov/coronavirus/get-my-payment
4/2/20 7:58pm- Stimulus Payments for Individuals who are not required to file a return
The IRS will be providing information regarding how to receive stimulus payments to individuals who generally are not required to file a tax return.
The current IRS E-files do not allow tax returns to be created that do not have filing requirements, so at this time we cannot create these returns for the purpose of transmitting bank account information either.
More information on this matter can be found here: https://www.irs.gov/newsroom/economic-impact-payments-what-you-need-to-know
4/2/20 8:00pm- Senior citizen stimulus relief
IR 2020-61 states: “People who typically do not file a tax return will need to file a simple tax return to recieve an economic impact payment. Low-income taxpayers, senior citizens, social security recipients, some veterans, and individuals with disabilities who are otherwise not required to file a tax return will not owe tax.” With this said, those who do not have filing requirements will need to take action to receive these payments.
3/31/20 5:41pm- Coronavirus Aid, Relief, and Economic Security(CARES) Act
The CARES Act was approved by the Senate on a 96-0 vote, and was later signed by the President on March 27th. This two trillion dollar aid package is built to help the economy suppress some of the effects brought on by the COVID-19 pandemic, and introduces a variety of new tax measures as well.
Below are a couple of key points we want to share with our clients. Please note this information is not intended to cover all areas of the Act. You should discuss with your tax preparer to fully understand the full impact on your personal tax situation.
How does the CARES Act affect personal taxes?
Recovery rebates are payments made to taxpayers that are being treated as advance refunds for 2020 tax credits.
Through recovery rebates, qualifying individuals can receive a tax credit of $1,200 for those filing individually, or $2,400 for joint filers. A $500 dollar credit is also available for each qualifying child. The amount of the recovery rebate granted will be reduced from the credit available on the individuals 2020 tax return.
Taxpayers are will be phased out for taxpayers with adjusted gross income of:
-$150,000 (for joint filers)
-Heads of household with over $112,500
-Other individuals with over $75,000
Nonresident aliens and individuals claimed as a dependent by another taxpayer also do not qualify for recovery rebates.
Retirement funds- Taxpayers are allowed to withdraw up to $100,000 from retirement plans to distribute to COVID-19 related matters.
These funds can be withdrawn up to December 31, 2020 and are not subject to the 10% tax for early distributions. Coronavirus-related distribution of these funds may be repaid within three years. This bill also allows for qualified plans to grant loans of up to $100,000, of which repayment can be delayed. The bill defines eligible uses for distributions.
Health plans
High-deductible health plans have been amended allowing individuals to seek telehealth and other remote care services without being charged a deductible.
How does the CARES Act affect business taxes?
Payroll tax credit refunds
Credits required for paid sick leave and paid family leave can now be refunded in advance, using instructions and forms provided by the IRS. The IRS has also been instructed to waive penalties relating to failure in depositing payroll taxes, when this failure was due to anticipated payroll tax credit.
Employee retention credits- retention credits for employers that have had to close due to pandemic complications
Eligible employers are given a 50% credit against employment taxes for up to $10,000 of qualified wages per each employee. Employers who were conducting business during 2020 and have since had to suspend operations of that business due to government orders restricting commerce, travel, or group gatherings due to COVID-19 are eligible for these credits.
Employers with gross receipts of less than 50% of the company’s gross receipts for the same quarter in 2019 are also eligible, until these receipts exceed 80% of the gross receipts for the same calendar quarter in 2019.
All wages paid qualify for this credit for employers with 100 or fewer employees. Only wages paid to employees who are not working as a result of epidemic suspension or drop in gross receipts are eligible for this credit for employers with over 100 employees.
Payroll tax delay-employers are being granted payroll tax breaks and delays
Up to 50% of 2020 employer payroll taxes can be delayed until December 31st, 2021, and the other 50% can be delayed until December 31st, 2022. 50% is due on the same dates for self-employment taxes.
The 80% income limitation applied to net operating loss deductions is temporarily repealed for years beginning before 2021. Losses taking place in 2018, 2019, and 2020 are allowed a five-year carryback. This carryback can be forgone if the taxpayer chooses.
The corporate alternative minimum tax, or AMT, is now modified to become a refundable credit for 2018 tax year.
Sec. 163(j) was amended and increases the adjusted taxable income percentage from 30% to 50% for tax years beginning in 2019 and 2020. Additionally, taxpayers can choose to use 2019 income figures for 2020 for this computation.
Also, a correction was made to Sec. 168, making qualified improvement property 15-year property.
.
3/30/20 3:26pm- Families First Coronavirus Response Act
.
Certain employers are now required to provide qualified employees paid time off for matters relating to Covid-19.
This new act states that covered employers must grant employees:
Two weeks or 80 days of paid sick leave at regular salary/rate for an employee that is quarantined by government or medical order, and/or is experiencing symptoms of Covid-19.
Two weeks or 80 days of paid sick at two-thirds of the employee’s regular salary/rate if the individual is not able to work because they are required to care for someone subjected to a quarantine, or have children whose school or child care provider has been closed
These new provisions are in action through December 31st, 2020. Find all of the details here on the U.S. department of Labor website.
3/31/20
COVID-19 Emergency Resources for Businesses
https://dceocovid19resources.com/pdf/DCEOCOVID-19EmergencyResourcesforBusiness.pdf
***
Illinois Department of Employment Security issues new guidelines including $600 stimulus increase. Please click below for the article.
Talk to one of our Accountants Today
OUR SERVICES
Accounting
- Statuary Accounts
- Management Accounts
- Bookkeeping
- Business Plan
Tax
- Tax Investigation
- Capitol Gains Tax
- Tax Advisory
- Corporation Tax
Consulting
- Registered Office Address
- Company Formation
- Company Secretarial
- Legal Helpline
QuickBooks/ Bookkeeping Services
All of the financial information and data for your business should be organized and in one place so it is easy to access. With our bookkeeping services, we will organize and manage your financial information within the QuickBooks software so you can easily access it at any time. While we manage your financial matters on a daily and monthly basis, you will be in control as we will keep you updated and ensure you can access and monitor your finances. If you are applying for a loan, doing your taxes, or budgeting, having quick access to your financial information is important. We can assist large businesses and provide small business bookkeeping.Advisory Services
Our accountants can take on an advisory role with your company through our business consulting services. We will work with you to understand your financial goals and help you make the right decisions to reach your goals and help your business grow and become more profitable. Our business advisory services include advisement for investments, taxes, payroll, bookkeeping, administration, and more.Estate Planning
It is important to manage your estate to help protect its value and ensure that your assets are distributed properly between your beneficiaries. Our accountants can assist with your estate planning, including managing the taxes to preserve its value and ensuring that your assets are distributed according to your wishes. Our estate accountants will identify ways to protect your estate from inflation and taxes and minimize what you are paying in taxes to maximize its value.Sales Tax / Nexus
Sales tax rates and laws are decided locally and differ between states and cities. This can make sales and use tax difficult to manage for businesses, especially those that operate in multiple cities and states. Our certified public accountants can help manage your sales and use taxes by ensuring that you are in compliance with applicable sales tax laws and identifying opportunities for refunds and exemptions. We have a thorough knowledge of sales tax laws and we can even help businesses that operate in multiple states with filing their taxes. Using Nexus tax analysis, we can help multi-state businesses stay in compliance with all applicable tax laws.Payroll Services
We provide payroll services to small businesses and international businesses that operate in the U.S. Our accountants will streamline your payroll process and manage the tax withholdings and benefit deductions from employee paychecks. We can also file the tax returns for your business that account for the tax withholdings.Call the CPAs of STE Corporation
Contact our CPA firm if you want to work with our accountants to help manage the finances for your business in Park Ridge, IL. You can call STE Corporation at (815) 836-0100 to talk to our professionals or schedule a free consultation.FREQUENTLY ASKED QUESTIONS
WHAT OUR CLIENTS SAY ABOUT US
“Everyone at STE has been amazing. As a small business owner it is essential to have people on your team that are experts in all areas. When it comes to finance and taxes Jim and the team at STE fill that need. Thanks for being great at what you do and always be there!”
“STE has been handling our personal, business accounting, and payroll for years. They are knowledgeable, easy to reach, and very welcoming. Would definitely recommend them.”
“I have had nothing but pleasant experiences at STE. They are knowledgeable and provide great service.”
“We have used STE Corporation for our payroll and tax service needs over the past 3+ years and extremely pleased with the partnership we have created.”
“My husband has operated his painting business since 2004, first as a sole proprietorship and later as an S corporation. STE has been instrumental in helping him grow his business and remain in compliance. I cannot thank Mike, Marybeth, Jim, and Lisa enough for helping him get organized and stay that way. They have truly been the business office he needed in order to focus on the part of his business he enjoys – painting and customer service Their professional staff literally have never let him down – payroll, state taxes, federal taxes, consultation, ledger reconciliation, profit and loss sheets, and probably lots of things I do not even know about! Hiring this firm was the best decision he could have made. He looks forward to visiting the office, everyone makes him feel like family. I appreciate their professionalism and efficiency. Thank you STE!”
OUR SERVICES
Accounting
- Statuary Accounts
- Management Accounts
- Bookkeeping
- Business Plan
Tax
- Tax Investigation
- Capitol Gains Tax
- Tax Advisory
- Corporation Tax
Consulting
- Registered Office Address
- Company Formation
- Company Secretarial
- Legal Helpline