Sciarabba Walker Blog
The information in these blog posts is provided for general informational purposes only and is not intended to substitute for accounting, tax, or financial advice from a professional accountant. While we use reasonable efforts to furnish accurate and up-to-date information, we do not warrant that any information contained in or made available through this blog is current or error free. No part of this communication is intended to be used for the purpose of avoiding penalties under U.S. federal tax law.
Restaurant Revitalization Grants – American Rescue Plan
The U.S. Small Business Administration (SBA) will administer a new program specifically to eligible entities in the restaurant and hospitality business sectors through the Restaurant Revitalization Fund. An eligible entity means a restaurant, food stand, food truck,...
Paid Sick & Family Leave Credits Under the Families First Coronavirus Response Act
The new law extends the FFCRA paid sick time and paid family leave credits beginning April 1, 2021 and ending on September 30, 2021. Previously were set to expire on March 31, 2021. The amendments apply to amounts paid with respect to calendar quarters beginning after...
Child & Dependent Care Assistance – American Rescue Plan
The child and dependent care credit has been increased from 35% to 50% of eligible expenses for 2021 only and is also refundable. The credit is now worth up to $8,000 for one qualifying individual and up to $16,000 for two or more (an increase from being worth up to...
Earned Income Tax Credit – American Rescue Plan
The threshold for disqualified investment income has been raised to $10,000 permanently. For 2021, the applicable minimum age for individuals without children has been decreased to 19. However, there are two exceptions: the minimum age for students is 24, and the...
Child Tax Credit – American Rescue Plan
Based on current law, the child tax credit is $2,000 per child with only half of the credit being refundable. On 2021 income tax returns, the credit will be fully refundable, and 17-year-olds will be eligible as qualifying children. The amount of the credit will be...
Unemployment Benefit Changes – American Rescue Plan
The first $10,200 in unemployment benefits will be tax-free in 2020 for taxpayers making less than $150,000 per year. We are awaiting additional guidance from the IRS on anyone who has already filed on what they will need to do. Unemployment supplemental payments of...
Recovery Rebates for Individuals – American Rescue Plan
Economic impact payments are an advance payment of the recovery rebate credit received on the taxpayer’s income tax return. The newest round of economic impact payments will be $1,400 for individuals ($2,800 for married filing joint) with an additional $1,400 for each...
American Rescue Plan of 2021
The American Rescue Plan of 2021 was signed into law by President Biden on March 11, 2021 and provides many new tax provisions and funding to various sectors of the United States. The notable financial changes are listed below broken out between individual and...
Additional PPP Guidance Issued March 3, 2021
In response to the changes that the Biden-Harris Administration made to the Paycheck Protection Program (PPP) in a press release on February 22, 2021, the U.S. Small Business Administration (SBA) issued new guidance with interim final rule titled “Business Loan...
Like-Kind Exchanges
If your business owns one building, but you want to replace it with another building, what should you do? You could sell the building, recognizing and paying tax on any gain, and then buy a new building. Alternatively, you could defer the gain by exchanging the old...