Resources For Businesses
Employee Tracking During Shelter in Place
Employers should keep records of pay to employees who are at home, but not working. This payroll may be eligible for exclusion in the calculation of your workers compensation premium.
We ask that our business clients email us at general@LibertyvilleIns.com if they have employees who are at home, but not working, so that we can evaluate if an adjustment is needed.
New Funding Anticipated for the Paycheck Protection Program
This week, the Senate approved a new coronavirus relief package, which includes an additional $310 billion for the Paycheck Protection Program. The original funding that provides loans to small businesses ran out of money last week. The House is expected to vote on the bill today.
If you are interested in pursuing a loan under the Paycheck Protection Program, you should consult with your lender as to whether it is participating in the program. A list of participating lenders, as well as additional information and full terms, can be found at www.sba.gov.
Employee Retention Credit
The Employee Retention Credit is a fully refundable tax credit for eligible employers equal to 50% of qualified wages paid after March 12, 2020, and before January 1, 2021. The maximum amount of qualified wages for each employee for all calendar quarters is $10,000, so the maximum credit for any employee is $5,000.
In order to be eligible, the employer must operate a trade or business that either:
Fully or partially suspends operation due to orders from a governmental authority as a result of COVID-19; or
Experiences a significant decline in gross receipts during the calendar quarter (the quarter’s gross receipts must be less than 50% of gross receipts for the same quarter in 2019).
It is important to keep in mind that if a business receives a Paycheck Protection Program loan, it is not eligible to take this payroll tax credit. Each business should evaluate which program makes the most sense for them.
For more information, visit the IRS website: FAQs: Employee Retention Credit under the CARES Act
Resources For Individuals
Questions about Economic Impact Payments
The IRS has begun distributing Economic Impact Payments. These payments are being issued automatically for most individuals. The Get My Payment tool will give you information about:
Your payment status
Your payment type
If more information is needed from you, including bank account information
If you have questions, the IRS is regularly updating the Economic Impact Payment and the Get My Payment tool frequently asked questions pages on IRS.gov.
IRS Begins COVID-19 Tax Tips Series
To help taxpayers understand issues related to COVID-19, the IRS has started a special series of Tax Tips focused on the Economic Impact Payments, tax scams and other emerging issues.
If you are interested in receiving these tips via email, you can sign up on the IRS e-news subscription page and select Tax Tips.
For other information on COVID-19 issues and the CARES Act, new information appears regularly on IRS.gov/coronavirus, including the latest on Economic Impact Payments.
Illinois Department of Revenue Correction Notices
If you receive a correction notice letter from the Illinois Department of Revenue (IDOR), please email a copy to us at taxpreparation@kakenmaster.com. We are seeing a rise in correction notices requesting real estate tax payment verification. We will review the correction notice and prepare a response.