Important Tax Updates

-Important Updates-
Personal Tax Filing Deadline Extended until May 17th
Updates on PPP Loans & Applying for Forgiveness
Updates on the Employee Retention (ERC) Credit
Updates on the HHS Provider Relief Fund

2020 Personal Tax Filing Deadline Extended until May 17th
Great news!  The federal personal tax filing deadline for 2020 has been extended until May 17th.  In addition, Oregon has also extended their filing deadline to May 17th.  At this point, however, this extension is only for your 2020 personal tax filing and payments.   We are still waiting for the IRS to rule on extending the due date of the 2021 first quarter tax estimate, which is currently due on 4/15/2021.

Even though the tax filing deadline has been extended, we ask that you send your personal tax information as soon as possible.  The extended filing deadline helps us get more tax returns finished, but we need your information to meet that goal.

Updates on PPP Loans & Applying for Forgiveness-
The House has voted to approve an extension of time to file for the second draw PPP funds until 5/31.  This has not yet been approved by the Senate, but we are hopeful that news will be forthcoming that this extension has been approved.  If you plan to apply for the second draw PPP loan, please continue to assume you need to do so by the 3/31 deadline.  We will send a follow up blog as soon as we hear any updates about the deadline.

If you are a Schedule C (Sole Proprietor or Single Member LLC) filer and have not yet applied for the second draw PPP loan, there were new regulations released on how to calculate your loan amount using gross income.   Please reach out to your client manager, and we can figure out if this new method would be beneficial to you.

We are still recommending that if you have not applied for PPP loan forgiveness and you are eligible for the Employee Retention Credit that you wait to apply for loan forgiveness.   Please reference our blog from 3/11/2021 that discusses this topic:

https://www.fluenceportland.com/consulting/ppp-forgiveness-applications-should-you-apply

If you need help knowing if the Employee Retention Credit applies to you, please reach out to your client manager.

Updates on the Employee Retention (ERC) Credit-
We are unfortunately still waiting for guidance from the IRS to be able to report this tax credit. Please reference our 2/5/2021 blog which discusses eligibility:

https://www.fluenceportland.com/budgeting/the-employee-retention-credit-a-tax-credit-that-may-benefit-you )

If your business is eligible for the credit, we will likely need to file an extension for your business return, and that will likely affect your personal return.   We are continuing to monitor this daily.

Updates on the HHS Provider Relief Fund
There has been no new information on the reporting deadline and when you will be required to provide documentation for the HHS Provider Relief Fund.   What is required at this time is to register.   Please reference our blog from 2/12/2021 on the Provider Relief Fund registration process:

https://www.fluenceportland.com/budgeting/hhs-provider-relief-fund-registration-is-open-and-you-must-register

Once you have registered, HHS will contact you by email when you are required to report the usage of the funds.

Since changes are occurring regularly with tax deadlines, PPP loans and forgiveness, the Employee Retention Credit, and HHS Provider Relief Funds, we will continue to keep you updated.  If we can help with anything, please let us know.   We know this has been a stressful time, and we are grateful that you have trusted us to navigate you through the challenges.

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