Dear Clients, Community, and Friends,
With the latest announcement of Mayor Garcetti’s “Safer at Home” ordinance for the City of Los Angeles effective Friday, March 20, 2020, at 12 AM, as well as other cities, states, and perhaps the nation following suit, businesses and families have been left wondering what they are going to do. Many are suffering severe losses with businesses being shut down, loss of jobs, market insecurities, and more. For those of you who are impacted by this crisis, our thoughts are with you. As we mentioned in our previous announcement, we are doing our part to socially distance, and are now a fully remote workforce. Our offices will no longer be open to the public, but you can still expect the same level of service as we move through the next stage in this pandemic.
We are reaching out to offer some guidance on relief opportunities that may be available to you. There is lots of information out there. Our goal is to monitor the latest updates and keep adding to the list of resources below. Do you know about a resource or relief effort not included below? Let us know by visiting our contact us page.
- Update – Tax Deadlines Pushed Back: Federal and California Measures to Help Taxpayers through COVID-19 Pandemic – https://www.krostcpas.com/tax-news/governor-newsom-extends-state-local-tax-deadline-in-light-of-covid-19-pandemic
- State by State Tax Filing Guidance from the AICPA – https://www.aicpa.org/content/dam/aicpa/advocacy/tax/downloadabledocuments/coronavirus-state-filing-relief.pdf
- Families First Coronavirus Response Act – New legislation that mandates that employers have to provide paid leave for employees affected by the coronavirus if those employees are unable to work or telework. It provides for payroll tax credits to offset all costs of providing these paid leaves. Legislation will become effective on April 2, 2020. It only applies to companies with less than 500 employees. https://www.krostcpas.com/news/families-first-coronavirus-response-act
- California Department of Tax & Fee Administration (CDTFA) Relief – Sales tax payments, penalties, and interest https://www.cdtfa.ca.gov/formspubs/cdtfa735.pdf
- California Employment Development Department (EDD) Unemployment Insurance Claims – Assistance for those who have been laid-off or furloughed. The one week waiting period is waived for now, so employees can begin receiving payments for the first week.
CA EDD – COVID 19
- California Employment Development Department (EDD) Extension for Filing and Paying Payroll Taxes – https://www.edd.ca.gov/about_edd/coronavirus-2019/faqs.htm
- What if I can’t file or pay my payroll taxes on time because of COVID-19?
With the Governor’s emergency declaration, if your business is directly affected by COVID-19, you can request up to a 60-day extension to file your state payroll reports and deposit state payroll taxes without penalty or interest. The written request for extension, noting the impact of COVID-19, must be received within 60 days from the original delinquent date of the payment or return. For the address to send the request, along with other information, please see the State of Emergency or Disaster Fact Sheet (DE 231SED) (PDF).
- Small Business Administration Offering Disaster Loan Assistance – On March 12, the SBA announced that it will work with state governments to provide targeted, low-interest disaster recovery loans to small businesses severely impacted by the outbreak. You can find out more about these loans and how to access them here: SBA Loan Info. Please see the information flyer we have prepared for our clients at the following link: https://www.krostcpas.com/accounting-news/how-to-secure-an-sba-loan-if-your-business-is-impacted-by-the-coronavirus-covid-19
- Labor & Workforce Development Agency – In the face of the COVID-19, the Labor & Workforce Development Agency (LWDA) wants to keep workers, employers, co-workers, and families safe. The LWDA created this centralized guide as a source of all information related to labor and workforce. https://www.labor.ca.gov/coronavirus2019/