Please note that this blog is based on laws effective March 31, 2020 and may not contain later amendments. Please contact Cray Kaiser for most recent information.

In reaction to the ongoing pandemic, Congress is continuing to pass legislation with the anticipation of rebounding our struggling economy. Late last week, Phase 3 of this effort was passed by Congress and signed by President Trump. This latest piece of legislation is referred to as the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). CARES is one of the largest stimulus bills to get signed and impacts individuals, businesses and certain non-profits. It includes tax law changes, expanded unemployment benefits, and business loans, some of which have forgivable features. As guidance and regulations for CARES become available, we will provide continued updates of the key provisions.

Business loans have caught the attention of many in recent days and this is an area we wanted to further clarify.  The U.S. Small Business Administration (SBA) is administrating loans under economic injury disaster loans (EIDL) and through payroll protection loans (PPL) provided by CARES. Although both programs target small businesses and nonprofits (generally less than 500 employees), there are certain key provisions for each of these loans that do vary significantly, and we wanted to detail those for you. Please click here to read more.

CK OFFICE OPERATIONS

These are certainly trying times and we want to reiterate that Cray Kaiser is here for you. As things continue to evolve in light of the COVID-19 pandemic, we at CK are taking additional precautions for the benefit of our team members and our clients.

Effective immediately:

• No clients or guests will be allowed in our suite.
• All in-person meetings are cancelled. Instead, we will be utilizing phone calls and/or email to communicate with our clients.
• Our team members are being encouraged to work remotely. All staff are equipped with the appropriate technology and resources to continue to securely and confidentially serve you from home.
• We will no longer have in-person drop offs of accounting/tax data. Instead, please drop off any packages outside the office door of our suite in the box provided.
• All paper files, tax returns etc. will no longer be mailed by our office to you. We will be holding these items in our office to send to you at a later date.
  
  

CK PORTAL ACCESS

We want to remind our clients of our portal access and your ability to safely and securely share your information with our team. We ask that you email efile@craykaiser.com to request your portal access. This will eliminate the need for you to drop off your tax information at our office.

MOVING FORWARD

Thank you for your patience and understanding during this challenging time. We wish you, your family, and your business health and safety. We will continue to support you as best as we can while keeping each other’s health a priority. If any changes occur during the course of the next few days, we will update our website.

Click here to read more COVID-19 resources.

Please note that this blog is based on laws effective March 26, 2020 and may not contain later amendments. Please contact Cray Kaiser for most recent information.

Illinois taxpayers received welcome relief on March 25 as Illinois largely followed the Internal Revenue Service guidance on the April 15, 2020 tax deadline.

The 2019 income tax filing and payment deadlines for all taxpayers who file and pay their Illinois income taxes on April 15, 2020 are automatically extended until July 15, 2020. This automatic relief applies to all individual returns, trusts, and corporations. These taxpayers will automatically avoid interest and penalties on any taxes due that are paid by July 15, 2020. Penalties and interest will begin to accrue on any remaining unpaid balances as of July 16, 2020, same as payments due to the Internal Revenue Service.

Note: This does NOT impact the first and second installments of Illinois estimated payments for 2020 taxes that are due April 15 and June 15. Taxpayers are required to estimate their tax liability for the year and submit quarterly installments as normal. 

Further guidance from the IRS regarding the federal tax filing extension:

• No limit on amount subject to relief
  Our last update indicated that there would be caps on the amount of taxes due that would be subject to relief from interest and penalties. The cap has since been lifted; therefore, no interest or penalty will accrue on federal income taxes due on April 15, 2020 but not paid until July 15, 2020. This is a welcome relief to larger corporations and high net worth individuals.
• Clarification on which tax forms are eligible for the automatic extension
  Not only individuals qualify for the automatic extension. Trusts, estates, and various corporations with an April 15, 2020 due date also receive the automatic filing and payment extension to July 15, 2020.
• Clarification on which tax forms are not extended
  The IRS notes that normal filing, payment, and deposit due dates continue to apply to both payroll and excise taxes. Additionally, estate and gift taxes do not receive a payment or filing extension.
• Federal estimated tax due dates remain confusing
  As we write this today, technically, the 1^st quarter 2020 federal estimated tax payment is now due on July 15, 2020. However, there has been no update to the due date for the 2^nd quarter federal estimated tax payment, so it remains due on June 15, 2020. Confusing, indeed! We hope to receive clarification and perhaps an extension of the due date of the 2^nd quarter estimated tax payment. For now, plan on paying a quarterly estimate on both June 15, 2020 and July 15, 2020 until we receive further guidance.
• Confirmation of due date for Individual Retirement Accounts (IRA) and Health Savings Accounts (HSA) IRA deposits
  The IRS has indicated that these deposits are also due on July 15, 2020.

CK OFFICE OPERATIONS

These are certainly trying times and we want to reiterate that Cray Kaiser is here for you. As things continue to evolve in light of the COVID-19 pandemic, we at CK are taking additional precautions for the benefit of our team members and our clients.

Effective immediately:

• No clients or guests will be allowed in our suite.
• All in-person meetings are cancelled. Instead, we will be utilizing phone calls and/or email to communicate with our clients.
• Our team members are being encouraged to work remotely. All staff are equipped with the appropriate technology and resources to continue to securely and confidentially serve you from home.
• We will no longer have in-person drop offs of accounting/tax data. Instead, please drop off any packages outside the office door of our suite in the box provided.
• All paper files, tax returns etc. will no longer be mailed by our office to you. We will be holding these items in our office to send to you at a later date.
  
  

CK PORTAL ACCESS

We want to remind our clients of our portal access and your ability to safely and securely share your information with our team. We ask that you email efile@craykaiser.com to request your portal access. This will eliminate the need for you to drop off your tax information at our office.

MOVING FORWARD

Thank you for your patience and understanding during this challenging time. We wish you, your family, and your business health and safety. We will continue to support you as best as we can while keeping each other’s health a priority. If any changes occur during the course of the next few days, we will update our website.

Click here to read more COVID-19 resources.

Please note that this blog is based on laws effective March 21, 2020 and may not contain later amendments. Please contact Cray Kaiser for most recent information.

 

As the coronavirus event has moved rapidly, markets keep reacting sharply, and people are learning to be adaptable, our elected officials are trying to blunt some of the extreme reactions with the Families First Coronavirus Response Act (H.R. 6201). Click here to read more details about this Act.

 

CK OFFICE OPERATIONS

These are certainly trying times and we want to reiterate that Cray Kaiser is here for you. As things continue to evolve in light of the COVID-19 pandemic, we at CK are taking additional precautions for the benefit of our team members and our clients.

Effective immediately:

• No clients or guests will be allowed in our suite.
• All in-person meetings are cancelled. Instead, we will be utilizing phone calls and/or email to communicate with our clients.
• Our team members are being encouraged to work remotely. All staff are equipped with the appropriate technology and resources to continue to securely and confidentially serve you from home.
• We will no longer have in-person drop offs of accounting/tax data. Instead, please drop off any packages outside the office door of our suite in the box provided.
• All paper files, tax returns etc. will no longer be mailed by our office to you. We will be holding these items in our office to send to you at a later date.

CK PORTAL ACCESS

We want to remind our clients of our portal access and your ability to safely and securely share your information with our team. We ask that you email efile@craykaiser.com to request your portal access. This will eliminate the need for you to drop off your tax information at our office.

MOVING FORWARD

Thank you for your patience and understanding during this challenging time. We wish you, your family, and your business health and safety. We will continue to support you as best as we can while keeping each other’s health a priority. If any changes occur during the course of the next few days, we will update our website.

Click here to read more COVID-19 resources.

Please note that this blog is based on laws effective March 21, 2020 and may not contain later amendments. Please contact Cray Kaiser for most recent information.

On Friday, March 20, Steve Mnuchin, Secretary of the Treasury, released a statement that the federal tax filing deadline has moved in response to the ongoing coronavirus (COVID-19) pandemic. The new deadline of July 15, 2020 corresponds with the tax payment deadline previously rescheduled earlier in the week. We do not yet have clarity on tax deadlines for certain states, including Illinois. We will keep you posted as guidance is provided.

What this means for you:
Due to the extenuating circumstances surrounding COVID-19, and the Illinois “stay at home” requirement, our office has closed to the public and our employees are working from home. See more about how our operations have been affected below.

We’re here to help:
We understand that this situation can be extremely frustrating. We empathize with what you are feeling as we all navigate this situation together. Please know we are doing all that we can to complete work in an accurate and efficient manner.

If you have any questions regarding the latest update regarding the federal tax filing deadline, or simply want to chat about your current situation, please do not hesitate to contact our office at 630-953-4900.

CK OFFICE OPERATIONS

These are certainly trying times and we want to reiterate that Cray Kaiser is here for you. As things continue to evolve in light of the COVID-19 pandemic, we at CK are taking additional precautions for the benefit of our team members and our clients.

Effective immediately:

• No clients or guests will be allowed in our suite.
• All in-person meetings are cancelled. Instead, we will be utilizing phone calls and/or email to communicate with our clients.
• Our team members are being encouraged to work remotely. All staff are equipped with the appropriate technology and resources to continue to securely and confidentially serve you from home.
• We will no longer have in-person drop offs of accounting/tax data. Instead, please drop off any packages outside the office door of our suite in the box provided.
• All paper files, tax returns etc. will no longer be mailed by our office to you. We will be holding these items in our office to send to you at a later date.

CK PORTAL ACCESS

We want to remind our clients of our portal access and your ability to safely and securely share your information with our team. We ask that you email efile@craykaiser.com to request your portal access. This will eliminate the need for you to drop off your tax information at our office.

MOVING FORWARD

Thank you for your patience and understanding during this challenging time. We wish you, your family, and your business health and safety. We will continue to support you as best as we can while keeping each other’s health a priority. If any changes occur during the course of the next few days, we will update our website.

Click here to read more COVID-19 resources.

Please note that this blog is based on laws effective March 18, 2020 and may not contain later amendments. Please contact Cray Kaiser for most recent information.

This afternoon, the IRS issued formal guidance on tax payment relief. Notice 2020-17 establishes the following:

• Every individual or entity with a Federal income tax payment due April 15, 2020 is considered an “Affected Taxpayer” for purposes of relief. Meaning, you don’t need to be physically affected by the virus; if you have a Federal income tax due on April 15, 2020, you qualify for the relief.
• The relief means that all Federal income tax payments due April 15, 2020 have an extended payment due date of July 15, 2020. This includes not only balances due on April 15, 2020 (generally your 2019 tax liability), but also first quarter 2020 federal estimated tax payments due April 15, 2020. The limitation on this relief is capped to $1 million for an individual taxpayer regardless of filing status. Relief is capped at $10 million for corporate taxpayers.
• Interest and penalty accrue above these caps starting on April 15, 2020 (no relief). Meaning, if you are an individual with a 2019 tax liability of $500,000 and a 1st quarter estimate due of $600,000, for a total of $1.1 million, the excess $100,000 tax due is subject to interest and penalty starting on April 15, 2020. Interest and penalty will not begin to accrue until July 16, 2020 for amounts under this cap. No guidance has been provided regarding federal tax payments due between April 15 and July 16, 2020 – namely the 2nd quarter estimated tax liability. 

Keep in mind the Notice only deals with payment relief, not filing relief. Based on our understanding of the law, valid extension requests of time to file will be required.

The Notice also does not mention relief of any other federal taxes, including payroll taxes. As such, it’s critical that if cash is tight, you continue to make payroll tax deposits. Failure to do so can be very costly.

Finally, we are still awaiting guidance from a number of state tax authorities including Illinois to determine what filing and/or payment relief might be available. We will continue to keep you abreast of developments as they come.

CK OFFICE OPERATIONS

These are certainly trying times and we want to reiterate that Cray Kaiser is here for you. As things continue to evolve in light of the COVID-19 pandemic, we at CK are taking additional precautions for the benefit of our team members and our clients.

Effective immediately:

• No clients or guests will be allowed in our suite.
• All in-person meetings are cancelled. Instead, we will be utilizing phone calls and/or email to communicate with our clients.
• Our team members are being encouraged to work remotely. All staff are equipped with the appropriate technology and resources to continue to securely and confidentially serve you from home.
• We will no longer have in-person drop offs of accounting/tax data. Instead, please drop off any packages outside the office door of our suite in the box provided.
• All paper files, tax returns etc. will no longer be mailed by our office to you. We will be holding these items in our office to send to you at a later date.

CK PORTAL ACCESS

We want to remind our clients of our portal access and your ability to safely and securely share your information with our team. We ask that you email efile@craykaiser.com to request your portal access. This will eliminate the need for you to drop off your tax information at our office.

MOVING FORWARD

Thank you for your patience and understanding during this challenging time. We wish you, your family, and your business health and safety. We will continue to support you as best as we can while keeping each other’s health a priority. If any changes occur during the course of the next few days, we will update our website.

Click here to read more COVID-19 resources.

Please note that this blog is based on laws effective March 17, 2020 and may not contain later amendments. Please contact Cray Kaiser for most recent information.

There has been much speculation surrounding the impact of the Coronavirus (COVID-19) pandemic on the U.S. tax filing deadline. At a Tuesday White House briefing, Treasury Secretary Steven Mnuchin announced new relief measures that are effective immediately.

The Internal Revenue Services (IRS) has extended the tax payment deadline for 2019 income taxes for individuals who owe up to $1 million and corporations that owe up to $10 million.

Eligible taxpayers can defer payment for up to 90 days without accruing interest or penalties. This puts the new tax payment deadline at July 15. As of now, the tax filing deadline remains April 15, though this could still change. Regardless of a change in deadline, our firm will continue to operate with the goal of completing tax filings without relying on extensions.

We remain on alert to any news about this situation. If the IRS announces a filing extension, we will contact you as soon as possible. It is expected that many states will follow suit in granting similar payment relief. We will be sure to keep you informed of any new updates at both the federal and state levels.

In the meantime, please do not hesitate to contact us with any questions you have regarding these circumstances. We will continue to work diligently to provide the services you count on from our team.

CK OFFICE OPERATIONS

These are certainly trying times and we want to reiterate that Cray Kaiser is here for you. As things continue to evolve in light of the COVID-19 pandemic, we at CK are taking additional precautions for the benefit of our team members and our clients.

Effective immediately:

• No clients or guests will be allowed in our suite.
• All in-person meetings are cancelled. Instead, we will be utilizing phone calls and/or email to communicate with our clients.
• Our team members are being encouraged to work remotely. All staff are equipped with the appropriate technology and resources to continue to securely and confidentially serve you from home.
• We will no longer have in-person drop-offs of accounting/tax data. Instead, please drop off any packages outside the office door of our suite in the box provided.
• All paper files, tax returns etc. will no longer be mailed by our office to you. We will be holding these items in our office to send to you at a later date.

CK PORTAL ACCESS

We want to remind our clients of our portal access and your ability to safely and securely share your information with our team. We ask that you email efile@craykaiser.com to request your portal access. This will eliminate the need for you to drop off your tax information at our office.

MOVING FORWARD

Thank you for your patience and understanding during this challenging time. We wish you, your family, and your business health and safety. We will continue to support you as best as we can while keeping each other’s health a priority. If any changes occur during the course of the next few days, we will update our website.

Click here to read more COVID-19 resources.