News & Events

Updated Coronavirus-Related Child Care Leave Guidance

The Department of Labor (DOL) issued new questions and answers related to new school schedules and paid leave under the Families First Coronavirus Response Act (FFCRA).

Additionally, the DOL released a letter on expanded unemployment eligibility under the Pandemic Unemployment Assistance provisions.

How Workers Can Return

With the pandemic being a national emergency that involves an infectious disease, you must take precautions when recalling your employees to the work site.

This article offers four suggestions to utilize in your return-to-the-office plans, including ideas for establishing workplace safety protocols.

IRS Guidance on Payroll Tax Deferment Presidential Order

According to IRS Notice 2020-65, the employee Social Security tax deferral may apply to payments of taxable wages to an employee that are less than $4,000 during a bi-weekly pay period, with each pay period considered separately. No deferral is available for any payment to an employee of taxable wages of $4,000 or above for a bi-weekly pay period.

Our CPAs do not recommend utilizing this tax deferral at this time. This article is meant to apprise our clients of this optional program. If you are considering this tax deferral, you should contact your accountant immediately to discuss the possible issues that could arise.

CARES Act Suspension of Required Minimum Distributions

The CARES Act temporarily suspended required minimum distributions (RMDs) for retirement plans. If you already withdrew the required amount, you have until this Monday, August 31, to return the funds to the original account from which they were withdrawn.

Returning the funds will reduce your taxable income for 2020 and may allow for tax planning opportunities such as ROTH conversions.

Small Business Lease-Emergency Assistance Grant Program Opens Monday

Small businesses in a few dozen New Jersey towns can apply to receive up to $10,000 in federal funding to help pay their rent under the new Small Business Lease-Emergency Assistance Grant Program.

The program will be managed by the New Jersey Redevelopment Authority and will disburse $6 million in federal CARES Act funding to small businesses that qualify in 64 of the Garden State’s 565 municipalities. This is a grant and not a loan, meaning those who receive it won’t have to repay it or apply for any kind of forgiveness.

Tax Credits on Their Way Out

Legislation in 2019 — the Taxpayer Certainty and Disaster Tax Relief Act — resurrected or extended several income tax breaks. But Congress giveth and taketh away, and several of them will expire at the end of 2020. Among those scheduled to end: the deduction for qualified tuition and related expenses, medical expenses deductions, and the credit for energy-efficient home improvements.

Learn about the other deductions due to expire in this informative article.

Rethinking the Way We Communicate

Has the pandemic inspired you to explore new ways to engage with customers, co-workers and clients?

Using texts, webcasts and social media can help businesses and enable individuals to stay in touch, answer customers' questions, communicate business status, build trust, and demonstrate team value.

KRS CPAs Named Among the Best & Brightest Companies to Work for in the Nation for the Third Year.

KRS is extremely proud to be recognized among the 2020 Best and Brightest in the Nation for our dedication to building a great culture for our employees!

Congratulations to Janice Silberstein on Her Retirement!

Janice Silberstein has retired after almost 30 years as a CPA. Janice has been a key member of KRS CPAs since the firm’s inception in 2005. She has been an integral part of the firm’s growth and success.

KRS Closed 7/3 in Observance of Independence Day

KRS will be closed on Friday, July 3, in observance of Independence Day. We will resume normal business hours on Monday, July 6.

Senate passes bill to extend PPP Loan Application Deadline to August 8th

The Senate passed a five-week extension of the Paycheck Protection Program (PPP) yesterday only hours before the application deadline.

The extension is intended to provide more time for small businesses to apply for the approximately $129 billion in PPP funding remaining. The measure will have to pass in the House and be signed by President Trump before the new deadline of August 8th would take effect.

IRS Update on Required Minimum Distributions

The CARES Act enabled any taxpayer with required minimum distributions (RMD) due in 2020 from a retirement plan to forgo the RMD this year. This included 401(k), 403(b), and IRA plans.

The IRS released Notice 2020-51, which states that anyone who already took an RMD in 2020 from certain retirement accounts now has the opportunity to roll those funds back into a retirement account.

SBA Issues Interim Final Rule on Owner Compensation

The Small Business Administration (SBA) has issued a new interim final rule for determining payroll costs and owner compensation in calculating Paycheck Protection Program (PPP) loan forgiveness under the new 24-week covered period.

SBA Releases EZ PPP Loan Forgiveness Application

The Small Business Administration (SBA) has released a three-page “EZ” Paycheck Protection Program loan forgiveness application.  The EZ Loan Forgiveness Application is meant to reduce the burden on smaller businesses and borrowers by requiring fewer calculations and less documentation.

The new application is part of the SBA’s efforts to comply with the Paycheck Protection Flexibility Act (PPPFA), which became law on June 5, 2020.

NJEDA Emergency Grant Program Phase 2 Opens June 9

Applications for the NJEDA’s Small Business Emergency Assistance Grant Program Phase 2 open on Tuesday June 9, 9am. Phase 2, with $45 million available, offers larger grants (up to $10,000) and expanded eligibility to New Jersey’s small businesses, home-based businesses, sole proprietorships, and 501(c)(3), 501(c)(4), and 501(c)(7) nonprofit organizations.

Paycheck Protection Flexibility Act Passes in Senate

The Senate passed the House’s version of the Paycheck Protection Flexibility Act. The bill now goes to President Donald Trump, who is expected to sign it.

Among the chief provisions: current PPP borrowers can choose to extend the eight-week period to 24 weeks, or they may keep the original eight-week period. In addition, the payroll expenditure requirement has been reduced from 75 percent to 60 percent of the loan.

Changes Coming to PPP

Both the House and Senate are working to make changes to the Paycheck Protection Program (PPP).

Last night, the House passed the Paycheck Protection Program Flexibility Act. The act makes several key changes to the PPP, among them increasing the timeline to use funds from eight weeks to 24 weeks.

More Guidance on PPP Loans and Forgiveness Released

The Treasury and U.S. Small Business Administration (SBA) issued additional guidance on the conditions for PPP loan forgiveness as well as loan review procedures, and borrower and lender responsibilities.

SBA Issues PPP Loan Forgiveness Instructions and Application

The U.S. Small Business Administration (SBA) released new guidance for Paycheck Protection Program (PPP) loan forgiveness.

SBA Deems PPP Loans under $2M Meet Good-Faith Certification

The SBA has determined that borrowers with loans below the $2 million threshold are less likely to have had access to adequate sources of liquidity than borrowers that received larger loans at this time.

Borrowers with loans greater than $2 million that do not satisfy this safe harbor may still have an adequate basis to meet the required good-faith certification. If the SBA determines that a borrower lacked an adequate basis, the borrower will be required to repay the outstanding PPP loan balance and the lender will be informed that the loan is not eligible forgiveness.

New Jersey Expands FLA with COVID-19 Protections

New law expands the NJ Family Leave Act and provides employees forced to take time off to care for a family member during the COVID-19 outbreak with up to 12 weeks of unpaid family leave in a 24-month period without losing their jobs.

SBA Extends PPP Repayment to May 14

A few weeks ago, the SBA announced that borrowers should be prepared to demonstrate the basis for good faith certification in requesting a loan from the Paycheck Protection Program (PPP).Any borrower who applied for a PPP loan prior to the issuance of this guidance and repays the loan in full will be deemed by SBA to have made the required certification in good faith.

The SBA has extended the repayment deadline to May 14, 2020 for borrowers who requested a loan in the first round of funding.

PPP Loan Forgiveness Not Reduced By Rejected Rehire Offers

If an employer offers to rehire an employee and the offer is declined, it will not have a negative effect on the Full Time Equivalent (FTE) reduction calculation for PPP loan forgiveness. Some rules, however, apply.

Families First Coronavirus Response Act (FFCRA) Update

Among the latest updates to the FFCRA: After a grace period, the DOL has officially ramped up its enforcement efforts but encourages employers and employees use their educational online tools to avoid violations. Additional guidance provided for small business exemptions, self-quarantine, and a timeline for paid sick leave.

SBA Issues More Regulations for PPP

The U.S. Small Business Administration (SBA) issued more regulations for the Paycheck Protection Program (PPP).

The new regulations relate specifically to loan disbursement and corporate group eligibility.

New Guidance and Infusion to the PPP

The Paycheck Protection Program and Health Care Enhancement bill passed last week gave a $310 billion replenishment to the PPP after all funds were depleted after less than two weeks.

The U.S. Small Business Administration (SBA) issued another round of regulations on the program shortly before it resumed accepting applications from participating lenders on Monday.

Economic Impact Payments Update

The government has begun to process Economic Impact Payments. The payments are automatic for most taxpayers. The IRS has created a portal that allows recipients to check payment status, confirm payment type (direct deposit or check), enter bank account information to receive direct deposit, and update a mailing address.

NJEDA Small Business Emergency Assistance Loan

The New Jersey Economic Development Authority (NJEDA) has created a Small Business Emergency Loan Program to assist with the continued economic impact of COVID-19. This $10 million program will provide working no-to-low interest capital loans of up to $100,000 to businesses with less than $5 million in revenues.

Changes to Paycheck Protection Program

The U.S. Small Business Administration (SBA) has issued interim regulations under the Paycheck Protection Program (PPP). These regulations have changed aspects of the program for independent contractors, includable and excludable payroll costs, and more.

Applications Open Tomorrow for NJEDA’s Grant Program

The application process for the NJEDA's Small Business Emergency Assistance Grant Program opens tomorrow, Friday, April 3, at 9am.

Paycheck Protection Program

The latest coronavirus relief fund established new loans to help employers pay workers and cover other employment-related expenses during the coronavirus crisis.

Lenders can start processing loan applications for small businesses and sole proprietors on April 3, 2020 and independent contractors and self-employed workers on April 10, 2020.

DOL Guidance on Families First Coronavirus Response Act

The Department of Labor recently issued additional regulations and guidance regarding the Emergency Family and Medical Leave Expansion Act (EFMLEA) portion of the legislation. This guidance covered small business exemptions, office closures, intermittent leave, furloughs or reduced hours, and documentation.

CARES Act – Benefits for Individuals

The Coronavirus Aid, Relief, and Economic Security (CARES) Act is a $2 trillion economic relief plan, which includes direct payments to many Americans, expanded unemployment benefits, and additional benefits for individuals and families during these difficult times.

CARES Act – Small Business Update

The newly enacted CARES Act provides for forgivable small business loans. This article shares details about loan amounts, loan forgiveness, and then shares additional resources where small business owners can go for additional guidance.

Coronavirus Aid, Relief, and Economic Security (CARES) Act

The Coronavirus Aid, Relief, and Economic Security (CARES) Act is a $2 trillion economic relief plan which includes direct payments to Americans, strengthened unemployment insurance, loans to businesses, and increased health-care resources. The CARES Act was signed into law by President Trump on Friday, March 27, 2020.

We’ve summarized the aspects of the bill we believe most affect our clients. There are additional benefits to specific industries and states along with special provisions.

FFCRA – Important Updates [Now Effective April 1]

The Department of Labor has determined that the effective date for the Families First Coronavirus Response Act (FFCRA) will be April 1, 2020. The text of the FFCRA states that the act takes effect “not later than 15 days after the date of enactment.”

In our previous communication on the FFCRA Update, we stated the effective date would be April 2, 2020.  The DOL has made it clear that this is not the case and that the law will be effective April 1, 2020.

COVID-19 Update: New Jersey Small Business Grants & Loans

The New Jersey Economic Development Authority approved a package of seven initiatives that can be worth an estimated $75 million to $100 million to help businesses cope with the impact the coronavirus outbreak has had on the economy.

All business owners who are interested in these and other programs should get documentation in order and begin to apply as soon as possible.

COVID-19 Update: Families First Coronavirus Response

What employers need to know about the new emergency family leave and paid sick leave laws

The Families First Coronavirus Response Act (H.R. 6201), which was signed into law on March 18, 2020, provides paid emergency family leave and paid sick leave for people affected by COVID-19.

These provisions take effect April 2, 2020 and expire on December 31, 2020. They will not be applied retroactively, according to the Department of Labor.

COVID-19 Update: Unemployment Benefits

If you are an owner of a corporation, or you own more than a five percent equitable or debt interest in the corporation, you will not be considered unemployed during your term of ownership. You aren't eligible for unemployment benefits.

Currently, owners are only entitled to unemployment benefits upon termination of corporate owner status or if corporate operations have permanently ceased because of impending dissolution of the corporation. However, the New Jersey Economic Development Authority (EDA) is expected to address the issue at a special board meeting. Fingers crossed, EDA announces some positive news for business owners.

COVID-19 Update: Small Business Loans & Grants

Small businesses are currently eligible to apply for an Economic Injury Disaster Loan (EIDL) through the Small Business Association (SBA) due to Coronavirus (COVID-19).

New York City and Philadelphia are offering financial relief to small businesses who are impacted by the pandemic. We believe New Jersey, New York, and Pennsylvania will soon offer relief grants and loans.

Fed, NJ & NJ Officially Extend Tax Filing Deadline

The IRS has extended the federal filing deadline to July 15, 2020. New Jersey has also extended its filing deadline to June 30, 2020.

There is no guidance on an extended filing deadline from New York as of this notice, although we do expect one.

KRS Working Remotely During COVID-19 Crisis

KRS is committed to the safety and health of our staff and clients. To that end, we are following the recommendations of the Bergen County Executive and Governor Murphy by adopting a contingency plan to move our office to work remotely effective March 19th.

Our team will continue to give you the same service you have come to expect from us no matter where we work. Although you should continue to call our office and email our staff as you have in the past, there are some suggestions you can follow to assist in these efforts.

COVID-19: Impact on Your Tax Preparation and Deadlines

We know there is a lot of concern and uncertainty due to the Coronavirus (COVID-19). KRS has been closely monitoring the situation for several weeks. The health and safety of our employees and clients is a top priority as is ensuring all tax requirements are met by the respective deadlines.

The IRS has yet to define who would be considered affected and determine the extension deadline. We are continuously following up with the IRS and state government for additional guidelines.

We encourage our clients who are able to file on time to send in their tax documents as soon as possible and file by April 15th, especially if they are expecting a refund.

KRS Managing Partner Maria Rollins Named to ROI NJ’s Power List

Cheers to Maria Rollins who is among ROI-NJ's Influencers in the Accounting Industry for a second year.

In naming Rollins to their accounting industry list, ROI noted KRS is a “boutique firm [that] continues to get it done for its clients — and its employees. Rollins, who preaches work-life balance, was thrilled when KRS was named one of the 101 Best & Brightest Companies in the Nation to work for — for the second consecutive year.”

Beware of Tax Season Phishing Attempts

There has been an uptick in instances of carefully targeted phishing attacks in relation to Tax Season over the past week, specifically with the use of fake ShareFile links. KRS is hyper-vigilant about these attempts and uses the utmost caution. In light of this, we want remind our clients how KRS sends and requests sensitive documents.

KRS only uses ShareFile for document sharing. For security reasons, we cannot accept files sent through Google Drive, Dropbox, etc.