Major Changes to Retirement Plans Due to COVID-19

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In the recent update, the IRS reminds Qualified individuals affected by COVID-19 that they may be able to withdraw up to $100,000 from their eligible retirement plans, including IRAs, between January 1 and December 30, 2020. These coronavirus-related distributions aren’t subject to the 10% additional tax that generally applies to distributions made before reaching age…

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ECONOMIC IMPACT PAYMENTS INFORMATION

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The IRS has reported that millions of Americans have already received their Economic Impact Payments (Payments) authorized by the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). The Internal Revenue Service (IRS) continues to calculate and automatically send the Payments to most eligible individuals, however some may have to provide additional information to the IRS to…

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WHAT ABOUT MY RETIREMENT ACCOUNT?

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Section 2202 of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), enacted on March 27, 2020, provides for special distribution options and rollover rules for retirement plans and IRAs and expands permissible loans from certain retirement plans. We have had many questions from our clients about how the CARES act might impact their…

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ADDITIONAL FUNDING ANNOUNCED

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On April 27, 2020 the Small Business Association (SBA) will resume accepting applications through the Payroll Protection Program. This additional funding to the new COVID-19 relief package will allow for an additional $310-million in funds for the program which offers forgivable, 1% interest loans for eligible companies with a maximum of 500 employees.  The Paycheck…

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PEOPLE FIRST INITIATIVE

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To help taxpayers facing challenges due to COVID-19, the Internal Revenue Service (IRS) has announced a sweeping series of steps to assist taxpayers by providing relief on a variety of issues ranging from easing payment guidelines to postponing compliance actions.  “The new IRS People First Initiative provides immediate relief to help people facing uncertainty over…

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BE AWARE OF SCAMS

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While the tax filing deadline may have been extended, scammers are hard are hard at work. Thousands of individuals have lost millions of dollars AND their personal information to tax scams. Taxpayers should be on the lookout for IRS impersonation calls, texts and email phishing attempts about the coronavirus or COVID-19 Economic Impact Payments. These…

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