PA Loan Program for Small Businesses: CWCA

CASI Payroll Plus continues to research the latest forms of assistance available to small businesses.

The COVID-19 Working Capital Access (CWCA) Program is administered by the Pennsylvania Industrial Development Authority (PIDA) and provides critical working capital financing to small businesses located within the Commonwealth that are adversely impacted by the COVID-19 outbreak. All CWCA loan applications must be submitted through your respective county economic development organization.
https://dced.pa.gov/programs/covid-19-working-capital-access-program-cwca/<https://linkprotect.cudasvc.com/url?a=https%3a%2f%2fdced.pa.gov%2fprograms%2fcovid-19-working-capital-access-program-cwca%2f&c=E,1,lHqC_Y2B_g-W8_es2qAhmQSztjgAs5_R9Dyjf8gbQUx2zAAQVkvmQbQB3FkJWM9MV3rXpUpr5TXmbG37MQe0GBkAGixCwYHJSYq_2KZfUx8,&typo=1>

Also, the COVID-19 Economic Rapid Response Loan Program is a one-time emergency grant-to-loan program administered by the Redevelopment Authority of the County of Bucks and targeting tourism and hospitality businesses (for select municipalities in lower Bucks).
http://www.bcrda.com/municipal-grant-program-for-covid-19-emergency-relief/<https://linkprotect.cudasvc.com/url?a=http%3a%2f%2fwww.bcrda.com%2fmunicipal-grant-program-for-covid-19-emergency-relief%2f&c=E,1,BFdeet36Hjz8vrk3TtsMtzEhe-XeBxNHXxDafGUwJCF_ZwpwKs-X-GTH-QcBURSX3wF8BDvxcA-nM-aYiWalG7u0avd6w4Qa4LISYSGO9g,,&typo=1>

Please call your accountant or call CASI Payroll at 215-716-2165 for more information.

This communication should not be construed as tax or legal advice or tax or legal opinion on any specific facts or circumstances. This communication does not create any accountant/client or attorney/client privilege. The contents are intended for general informational purposes only, and you are urged to consult a tax advisor or lawyer concerning your own situation and legal questions.

Families First Coronavirus Response Act

Information regarding COVID-19 support is coming fast and from many sources.  We felt our clients would benefit from a summary of the Families First Coronavirus Response Act.

This communication should not be construed as tax or legal advice or tax or legal opinion on any specific facts or circumstances. This communication does not create any accountant/client or attorney/client privilege. The contents are intended for general informational purposes only, and you are urged to consult a tax advisor or lawyer concerning your own situation and legal questions.

Local EIT Filing Deadline Extended to July 15

Keystone Collections Group and Berkheimer are Pennsylvania tax administrators collecting local Earned Income Tax (EIT) for our region. According to a statement on the Keystone Collections Group website, Keystone is extending the local EIT filing deadline to match the State and Federal date of July 15, 2020. Keystone will not apply penalty and interest on Tax Year 2019 Final Return payments until after July 15, 2020. Similarly, Berkheimer’s website announces that the new due date for 2019 returns and 1st quarter 2020 estimated payments is July 15, 2020.

This communication should not be construed as tax or legal advice or tax or legal opinion on any specific facts or circumstances. This communication does not create any accountant/client or attorney/client privilege. The contents are intended for general informational purposes only, and you are urged to consult a tax advisor or lawyer concerning your own situation and legal questions.

Support Available for Bucks County Businesses

Bucks County Economic Development Corporation (BCEDC) is willing to support Bucks County businesses in any way they can. Contact Bob Cormack of BCEDC at 215-348-9031.

This communication should not be construed as tax or legal advice or tax or legal opinion on any specific facts or circumstances. This communication does not create any accountant/client or attorney/client privilege. The contents are intended for general informational purposes only, and you are urged to consult a tax advisor or lawyer concerning your own situation and legal questions.

Waivers for Keeping Physical Locations Open

As you know, on March 19, 2020, Governor Tom Wolf ordered all non-life-sustaining businesses in Pennsylvania to close their physical locations to slow the spread of COVID-19. Businesses seeking waivers and exemptions to the closure order should submit this form https://expressforms.pa.gov/apps/pa/DCED/Waiver-process-keeping-physical-locations-open  to the Department of Community & Economic Development.

If your business needs help navigating the waiver process or identifying if you are eligible to keep your physical location open, your local economic development corporation may be able to help.

This communication should not be construed as tax or legal advice or tax or legal opinion on any specific facts or circumstances. This communication does not create any accountant/client or attorney/client privilege. The contents are intended for general informational purposes only, and you are urged to consult a tax advisor or lawyer concerning your own situation and legal questions.

Personal Income Tax Deadline Extended

The PA Department of Revenue announced the deadline for taxpayers to file their 2019 Pennsylvania personal income tax returns is extended to July 15, 2020. This PA extension applies to both final 2019 tax returns and payments, and estimated payments for the first and second quarters of 2020. On Friday, the Trump administration also announced that the federal tax filing deadline has been moved to July 15 from April 15 (to match the previously announced payment relief). If you would like information on any other states, please call our main number at 215-716-2165.

This communication should not be construed as tax or legal advice or tax or legal opinion on any specific facts or circumstances. This communication does not create any accountant/client or attorney/client privilege. The contents are intended for general informational purposes only, and you are urged to consult a tax advisor or lawyer concerning your own situation and legal questions.

CASI Updates on Social Media

A Message from CASI Payroll…

In response to the coronavirus economic impacts, updates are happening so fast regarding such things as what are life sustaining business, applications for exemptions, government loan programs, and tax extensions and credits.  CASI Payroll strives to provide our clients and friends with the most up-to-date information as soon as possible.  To do this the most effectively during this difficult time, we are asking you to follow us on Facebook and/or LinkedIn. 

Facebook:  https://www.facebook.com/casipayrollplus/  
LinkedIn: https://www.linkedin.com/company/casipayrollplus

Blog:  https://www.casipayrollplus.com/blog/

The same information is going to appear on Facebook, LinkedIn and on our blog.

We will always remain available by phone or email but believe that the best way to get information quickly disseminated is through social media.  Payroll companies are now considered a life-sustaining business and as such, CASI will reopen at our physical location on a limited basis.  We are not receiving visitors, but we are getting mail, receiving deliveries, still processing payroll and will be preparing quarterly payroll tax returns.  We have chosen to provide our employees the ability to work from home and many are choosing to do this to help reduce social contact.  The few that have voluntarily chosen to come in are utilizing social distancing as well as good hygiene and frequent cleaning of door handles and other surfaces.

We hope all of you and your families remain safe at this difficult time.  Thank you for your cooperation and we look forward to speaking with each of you soon.  We can all get through this crisis if we work together!

This communication should not be construed as tax or legal advice or tax or legal opinion on any specific facts or circumstances. This communication does not create any accountant/client or attorney/client privilege. The contents are intended for general informational purposes only, and you are urged to consult a tax advisor or lawyer concerning your own situation and legal questions.

COVID-19 PAID SICK LEAVE BILL

The US House of Representatives has passed the Families First Coronavirus Response Act, and the Senate is likely to pass the bill this week, as President Trump has indicated his intention is to sign the bill into law. 

The final bill may be different than the bill that passed the House, but it looks like all employers with fewer than 500 employees will be required to provide up to 80 hours of paid sick leave to their full-time employees for coronavirus-related issues and the equivalent of two weeks for part-time employees.  For those employers who have to follow the FMLA (the Family Medical Leave Act applies to employers with 50 or more employees), the bill allows for additional reasons for leave related to COVID-19.  Employers will receive a credit against its portion of the Social Security payroll tax on a quarterly basis. 

We will update this information when we have information on the final bill. 

This communication should not be construed as tax or legal advice or tax or legal opinion on any specific facts or circumstances. This communication does not create any accountant/client or attorney/client privilege. The contents are intended for general informational purposes only, and you are urged to consult a tax advisor or lawyer concerning your own situation and legal questions.

Explanation of the 2020 Form W-4

The 2020 Form W-4, Employee’s Withholding Certificate, is very different from previous versions. This is due to the federal tax law changes that took place in 2018. The Internal Revenue Service (IRS) is not requiring all employees to complete the revised form and has designed the withholding tables so that they will work with both the new and prior year forms. However, certain employees will be required to use the new form: those hired in 2020 and anyone who makes withholding changes during 2020. You may request and submit a new Form W-4 for any upcoming payroll.

Even though the IRS does not require all employees to complete the revised form and even if your tax situation has not changed, we recommend you perform a “paycheck checkup” to see if you need to make adjustments to your current withholding. To conduct the checkup, you can use the IRS’s Tax Withholding Estimator (www.irs.gov/W4App). To effectively use the estimator, it is helpful to have a copy of your most recent paystub and tax return. It is likely that the estimator will be updated soon to account for the 2020 tax tables. If you do use it before then, it is recommended that you revisit the following month and repeat estimation with your updated numbers from your more current paystub. Please note: if you do not submit a new form, withholding will continue based on your previously submitted form. You should also do similar checkups throughout the year to be sure you are on track.

Before completing the 2020 Form W-4, please read the instructions that are included with the form. You must complete Steps 1 and 5. Complete Steps 2 through 4 only if they apply to you. Doing so will make your withholding more accurately match your tax liability. Step 1 is for your personal information; Step 2 is for households with multiple jobs; Step 3 is used to claim tax credits for dependents; Step 4 is for other adjustments (additional income such as interest and dividends, itemized deductions that exceed the standard deduction, and extra tax you want withheld); and Step 5 is where you sign the form.

You can also compare for yourself the total per pay federal withholding (husband & wife if applicable) that is on current paystubs with a similar period’s paystub from December 2019 if all income and related items are similar to the prior year. The federal tax withheld may go by several terms; sometimes “FIT” or “FWT” or “Fed W/H”, etc.

The IRS takes your privacy seriously and suggests that, if you are worried about reporting multiple jobs in Step 2 or other income in Step 4(a), you use Step 2(a) or (b) or enter an additional withholding amount in Step 4(c), respectively. To determine the additional withholding amount, you can use the withholding estimator.

The IRS has also published Frequently Asked Questions that you may find helpful as you complete the form (https://www.irs.gov/newsroom/faqs-on-the-draft-2020-form-w-4).

CASI Payroll Plus is unable to provide you with individual tax advice, but should you have questions, you should seek the counsel of an informed tax preparer or advisor. Please call CASI at 215-716-2165 if you have questions about the process of furnishing a new Form W-4.

Time Is Running Out On 2019 Tax Planning

Did you unexpectedly owe on last year’s return?  With only a handful of paychecks left in 2019 to ensure you have enough withholding, we recommend you go to the IRS’s Tax Withholding Estimator (https://www.irs.gov/individuals/tax-withholding-estimator) or contact your tax professional to see where you stand.  If you find that you are under withheld, you should determine how much additional withholding you need before 2019 draws to a close, divide that number by the number of remaining paychecks and complete a new W-4 using line 6 to catch up your withheld tax.  Of course, by speaking with a tax professional, they may be able to give you ideas that could help you reduce your tax bill for 2019.