May 2020 Newsletter
Paycheck Protection Program (PPP)
as of May 7th, 2020
The 2nd round of funding for the PPP resumed on April 27, 2020. Many businesses are receiving word that their applications were accepted and have been receiving the money into their accounts.
Unfortunately, at this time the guidance on the loan forgiveness is lacking and at times contradictory. There have been many changes within the last few days that lead me to believe that the possible loan forgiveness will not be as straight forward as many had hoped. The AICPA has released a list of recommendations to the U.S. Small Business Administration regarding the calculation of payroll costs, FTE (full-time equivalent employees), 8-week covered period and more. Until more guidance is released by the SBA, we will be forced to rely on the current SBA published guidance. The IRS has recently released guidance stating that expenses related to the forgivable loans through the PPP won’t be tax-deductible. The agency cited Section 256 of the tax code, which states that deductions can't be taken if they are tied to a certain class of tax-exempt income. On may 6th the Senate introduced legislation to enable small businesses to deduct their expenses, even if the loan is later forgiven.

Until a bill passes, businesses need to plan to pay taxes on the forgivable portion of their loan.

If you are a business owner who has received the PPP, it is prudent that you stay updated and current on this very fluid situation. If you would like our assistance with managing your PPP, please contact Michelle at michelle@jellisoncpa.com for more information on how we can help.
Current Tax Filing Deadlines for 2019
Due to the Covid-19 pandemic, federal and state tax deadlines have changed. They are as follows;

  • 2019 Federal and Michigan 1040's are now due July 15, 2020.

  • 2020 Federal and Michigan Estimated Tax Payments are due;
1st Quarter-July 15 2020
2nd Quarter-July 15, 2020
3rd Quarter-Sept. 15, 2020
4th Quarter-Jan. 15, 2021

You can file for an extension which would extend the tax filing due date to October 15th. If you file an extension and you expect to owe taxes, you must pay an estimated amount by July 15th to avoid penalties and interest. Please contact us if you wish to extend your due date until October 15th.

These dates may be subject to change if further delays are deemed necessary.

Click on the following links for Frequently Asked Questions regarding MI and Federal tax filing deadlines.

Government Stimulus Checks
We have received many calls regarding the status of stimulus checks. Unfortunately, we aren't able to provide much help with this issue. Our advice is to use the IRS Get My Payment Tool. This tool lets you get your payment status, see your payment type, and provide your bank information to the IRS. You can also read the Frequently Asked Questions on this page for help if you get a "payment status not available" message.

Click HERE to use the IRS Get My Payment Tool.
Tax Document Deadline, June 1st
If you want us to prepare and file your 2019 tax return by July 15th, we must receive your documents no later than Monday, June 1st.

In addition to our drop off process (see new office procedures) you can upload your documents to your client portal or use our web organizer.

Contact michelle@jellisoncpa.com if you would like to:
  • register your client portal
  • receive your client organizer via an interactive web organizer, (a feature within your client portal).
Covid-19 Office Procedure Changes
We have set up new office procedures with the goal of protecting everyone's health. A drop box is now on our front porch available during office hours only. If you need to pick up or drop off something give us a call when you arrive in our parking lot. We will then place your documents in the box or collect documents you have delivered.

Though we are not having face to face meetings, we can schedule conference calls or Zoom meetings. Zoom is a great way to have a "face to face" meeting while staying safe and saving drive time. The program is very user friendly, you can use your phone, computer or tablet. To schedule a Zoom meeting, contact Michelle at michelle@jellisoncpa.com.

Monday through Thursday
9:00 AM to 4:00 PM
Closed Fridays
May 1st to September 4th
Meet Walter
On a lighter note, our office has another mascot. He belongs to Jen Portelli. This pandemic has been a very stressful time, but it turned out to be a great time to get a puppy! Walter has definitely enjoyed having his people home more than usual.
Contact Us
Jellison CPA | Phone 810-991-1761 | Fax 866-642-2025 |   Website