Current Tax News

2019 and 2020 Coronavirus Tax Relief

Secretary of Treasury Mnuchin further announced March 20, 2020 that the April 15, 2020, filing and payment deadlines are automatically extended to July 15, 2020. The California Franchise Tax Board announced on March 18, 2020, that its deadline will be extended to July 15, 2020 as well. Summaries of both provisions are below along with links to the actual announcements and details if you are interested. These payment extensions are in response to the struggles in the economy right now with loss of jobs and business/school closings, and are meant to relieve those taxpayers who have been impacted by the coronavirus (which I think is all of us!) and to keep more money in the economy as a stimulus.  There remain some logistical questions about the new provisions, and we will update this page as additional clarification is provided. 

 

IRS – Relief for taxpayers Affected by Ongoing Coronavirus Disease 2019 Pandemic:

  • Federal income tax filing and payment deadline is postponed to July 15, 2020. Interest, penalty, and failure to pay calculations will be suspended during this time period.
  • The postponement applies to both 2019 tax year payments and Q1 2020 estimated tax payments which would have been due on April 15, 2020.
  • Calendar year trusts, estates, and C Corporations returns are also eligible for the July 15, 2020 extension.

Please note: 2019 Traditional or Roth IRA and HSA (Health Savings Accounts) contributions can be made as late as July 15, 2020.

 

California FTB announcement – State Postpones Tax Deadlines Until July 15 Due to the COVID-19 Pandemic:

Individual filers whose California tax returns are due on April 15 have an automatic 60-day extension to file and pay by July 15.

  • California quarterly estimated tax payments due on April 15 have an automatic 60-day extension to pay by July 15.
  • Partnerships and LLCs who are taxed as partnerships whose tax returns were due on March 15 have a 90-day extension to file and pay by July 15.

 

State-by-state chart prepared and updated by the AICPA (American Institute of CPAs) to track individual state responses and relief provisions.

  

Additional information/links helpful to taxpayers:

  • Small business owners in the following designated states are currently eligible to apply for a low-interest loan due to Coronavirus (COVID-19): California, Connecticut, Delaware, the District of Columbia, Florida, Georgia, Indiana, Maine, Massachusetts, Montana, Nevada, New Hampshire, New Jersey, New Mexico, North Carolina, Rhode Island, Utah, and Washington.
  • We found this article by the San Francisco Business Times to be useful for more resources and detailed information for small business owners and employees.

Updated: 03/23/2020

 

2018 tax law changes

The Tax Cuts and Jobs Act of 2017 was approved by Congress and signed by President Trump on December 22, 2017.   This bill is the most sweeping change to the U.S. tax code in more than 30 years.  While many of the bill's provisions remain unclear, and we are awaiting IRS interpretation and new forms and instructions, we have summarized several key issues below.  Please also note that every month there are new articles in our Newsletters tab.  

Year-end Charitable Planning Strategies

Tax Topic #1 - Impacts to Individual Tax Returns

Tax Topic #2 - Impacts to Homeowners

Tax Topic #3 - Impacts to Payroll Withholding

Tax Topic #4 - Impacts to Real Estate Investors

Tax Topic #5 - Impacts to Business Owners

Tax Topic #6 - Qualified Business Income – The 20% deduction and what it may mean for your business or rental property investments