What is an “Estimated Tax Penalty”?
An estimated tax penalty is a fee that IRS can charge you if you don’t pay your taxes in smaller increments throughout the year. Most W-2 wage earners don’t realize it, but their withheld tax is being sent to the government by their employer on a quarterly, monthly or semi-weekly basis. For self-employed individuals (like…
The New PPP EZ Application
I think it’s important to first determine if you qualify for the EZ PPP Loan Application before getting bogged down in some of the other provisions and rules. The whole goal of the EZ App is to require less documentation, fewer calculations, and simplifies the process dramatically for a large number of business owners. EZ…
Reopening Church – Michael Osterholm Explains How To Assess COVID Risk
Michael Osterholm is the founder and director of the Center for Infectious Disease Research and Policy at the University of Minnesota. His 2017 book, Deadliest Enemy: Our War Against Killer Germs, was recently republished with a new foreword about COVID-19. Mark Olshaker is a co-author. Podcast & Interview Link Interview highlights On anticipating a second, worse wave of…
Reminder: 1 month remains to extended 1040 deadline
This year’s 1040 deadline was extended from April 15th to July 15th, and it’s approaching fast. If you haven’t yet gotten your tax documents to your tax preparer, you may want to think about getting them in or asking your tax preparer to file an extension for you. Even if you can’t pay your tax…
Can I refuse to take my salary?
In difficult economic times, Churches must make tough decisions about what bills they can afford. Sometimes Ministers refuse their salary in order help the Church. If you refuse to take your full salary for the year, do you still need to report it as taxable income? The answer, like all good tax questions, is “it…
I work for many different churches and get paid on a 1099-MISC. Can I still designate a housing allowance?
Most ministers work for one church and receive a W-2. However, there are ministers who do not have a regular church and end up getting paid on a 1099-MISC during the year. This includes ministers doing pulpit supply and traveling evangelists. Can these 1099-MISC payments be eligible for a housing allowance? The answer is yes,…
Can I designate a housing allowance for multiple years?
A frequently asked question about Clergy Housing is whether a minister must re-designate their housing allowance every year or if they can simply enter a designation that covers multiple years. Surprisingly, Clergy are able to designate for periods longer than a single year. IRS does not specify how long a housing allowance designation must remain…
Got A Notice From The IRS
The Internal Revenue Service (IRS) will send a notice or a letter for any number of reasons. It may be about a specific issue on your federal tax return or account or may tell you about changes to your account, ask you for more information, or request a payment. Before you proceed, check where the…
New PPP Forgiveness Rules
Extend the “covered period” under which small businesses can spend the loan proceeds from eight weeks to 24 weeks, or until Dec. 31. Remove the limits on loan forgiveness for small businesses that were unable to rehire employees, hire new employees or return to the same level of business activity as before the virus. Expand…
Senate approves House-passed Paycheck Protection Program reform bill
The Senate on Wednesday evening passed by voice vote a House-passed Paycheck Protection Program reform bill, clearing it for President Donald Trump’s signature. Earlier in the afternoon, GOP Sen. Ron Johnson of Wisconsin objected to a prior effort to pass the bill via unanimous consent, blocking approval. But Johnson agreed to let the bill pass…
