Edsel

Lion, Carbonite for $71.99 for one year is a little over half of what they are expecting me to pay! Does anyone have a solution to companies who insist on "automatic renewal"? Almost never got McAfee out of my hair for that very reason. Appreciate the input from everyone.

Asking for suggestions - which service do you use to backup your PCs? I've been using Carbonite for 4 years and they are insisting on whopping increases and, worst of all, automatic renewals.

Thanks Lynn.

Does the application even exist yet? If so, can anyone provide a link?

Dan, thanks for the correction, and your usual assistance. Edsel

Yes I always do some research before asking questions before wasting other people's time. Problem is, the research ends up with perplexing and language difficult to understand. For example, on this topic I have researched the instructions for Form 1172.

Hi Max - is the requirement above true for a C Corp? No annualization of rates since they are all the same. This is not a second change, and there is not 48 months worth of history. Thanks for responding, Edsel

A C corp has a fiscal year end of April 30th. There were dramatic things that happened in May. Is there a way to change the fiscal year? I'm thinking of filing a "short year" for the period May 1 - May 31 in 2019, paying the penalty, and then reporting for Jun 1 19 to May 31 20. Can this be done?

In spite of some of my folks receiving stimulus payments to which they were NOT entitled... I had three of my clientele lose their spouses in 2019. All three have had their taxes filed for 2019, and NONE of them have received their stimulus payment. Is there anyone aware of anything that would cause delay in payments for taxpayers who have lost their spouse?

Thanks Medlin. You've answered these questions as best as one could at this time. Edsel.

Thanks Tom. I'm not sending millions, but if several of us send small amounts it should help some.

May be a repetition of previous questions, but will move this to the top, as the answers were, for the most part, deferred until more information was available. The forthcoming 2nd quarter 941 will be upon us before we know it. Medlin tells us the govt is tampering with a 4-page 941. I can hardly wait. The heavy credit is 50% of "qualified wages." Last time I asked, no one knew what "qualified wages" will be. I've heard wages in excess of $100K are not eligible, and the credit cannot exceed $5000 for any employee. I'm quite sure the $100K wages are intended to factor down to $25K for the quarter, or maybe even $30,769 for an 8-week period. Dunno that either. And a specific question, for those whose knowledge far exceeds mine: I have a client who began paying 4 people in late March instead of laying them off. They were doing this in order to save their jobs and hoping to include their wages in loan forgiveness for the PPP loan. Sounds good, but after paying these folks, the PPP loan did not arrive until April 27th - and the period of measurement cannot start until then. We have been told that the loan forgiveness cannot duplicate the costs covered by the PPP period of measurement and the EIDL loan and the 941 credit. Understand that we cannot double-or-triple dip. But how about the costs OUTSIDE the period of measurement, such as the 4-weeks paid for four personnel PRIOR to April 27th?? If my client cannot cover those extra four weeks, they will have to eat those wages on their financials. I'm asking a lot on this post, and will appreciate any response. I have asked related questions in the past, and the best responses I've received have been "Edsel, please wait, the govt changes every day and will issue new guidelines in May."

I will send a small measure of support. Please post info such as Payee, Address, etc. or if you don't wish to post, please send me a PM so I'll know what to do.

Mr Schiralli - I believe most of us probably are aware of people who received stimulus $$ which were not entitled. I am further told by good sources on this very forum that the 2020 line item can result in a credit only - and cannot result in a payback debit. I believe these sources to be correct. Absent any way to recover this $$$ on the tax return, the only way appears to be for the IRS to chase down improper payments on their own, and someone is going to have to fund administrative money to their collection department to get this done. Additionally, it is hard to imagine most of these improper payments being any mistake other than the IRS. Given the political climate involved with this stimulus, I don't see the above happening. I'm telling my people if they get a check, just to simply enjoy it. I could be wrong.

Yes. The ridiculous has become the absurd. The IRS is having to pay bonuses to people just to get them to come in to work. And it's not like they're not going to be paid anyway for sitting at home and doing nothing. At least they're not in the unemployment lines.

Bank is telling us the measurement period for PPP loan forgiveness begins the date the proceeds are received. Not too difficult. However, they are later telling us the documentation to apply for the forgiveness will need include payrolls that are "accrual based." Not exactly apples and oranges if I understand accruals but they go on to explain that the documentation will have to be eight weeks of payroll based upon payroll actually paid. Goes on to state that if payrolls are bi-weekly, they will accept four (4) such payrolls. Example: ABC has a period period beginning April 26 and ends May 9th. Payroll for this period will be paid on May 15th. Assume Loan Proceeds are received on May 1st - and beginning on that date employees may charge the forgiveness bucket. However, the May 15th payroll will include some costs incurred prior to May 1st. When time comes to apply for forgiveness, will they be expecting the entirety of the May 15th payroll to be submitted??? How do you interpret this???

I have a couple people receive stimulus checks that shouldn't have as well. I'm also told that the IRS will not be chasing down to collect money from mistakes such as these. I'm happy for the stimulus but believe there is so much political attachment that it would be counter to the intent of govt to collect for their own mistakes.

Tried to delete the above but couldn't. Please ignore...

It's been awhile since I have had to file an SS-4. Most of the time, lawyers do it, or taxpayers do it, and I end up having the correct the mess they make. It is designed to be simple, but the form asks so many questions, it just asks for trouble. I don't want to mail in an SS-4 and wait forever. I've been on the IRS website and can't find where I can file online. Can anyone help? Thanks, Edsel

It would appear that one of the following would apply, and I would think they are mutually exclusive. A company has a PPP with loan forgiveness and is thus disqualified from taking the 941 credit. A company has a PPP with loan forgiveness and is thus disqualified from taking the 941 deferral. A company has a PPP with loan forgiveness and may take the 941 credit or deferral. Lion, your reply is perhaps based on the latest and greatest, except the banks will not be filing 941s. We will have to do that. The regulations you refer to may give conclusive answers.

I appreciate the time, patience, and savvy intelligence of DANRVAN to familiarize with all the various sections and verbage in the Act. However, it appears to my pea-sized brain that if an entity takes out a forgiveable loan, they cannot take either the credit or the deferment. The credit does not apply due to section 2301(j) and the deferment does not apply due to 2302(a)(3). I began the post hoping for a clear answer, and I am now convinced I am just as lost as I would be in Rita's corn maze.

Absolutely. In Seattle, for example, it is illegal for anyone to make less than $600 for a 40 hr week.

Hey Tom - You believe you are taking issue with me, but in fact, you are only confirming my case. One of the things that has illuminated my recent years is the concept of "image versus substance." And yours is a perfect example. The image is "we're going to do something for businesses that are suffering because of this virus." The substance? Does your company, badly needing this, actually HAVE a PPP loan? Apparently not. Who does? You can start with Harvard University's permanent endowment fund, $4.7 MM. Many of the Fortune 500 companies have loans of $10MM - from what is told, they have this simply for not laying off their people, whether or not they would have been laid off anyway. Those entities needing it the most are not getting it. The money is going to the well-heeled with the slickest banking connections. Apparently California is playing a part in your situation. I don't know or understand California but I believe what you are saying. Like I told my cousin in Vacaville. Move.

All of the PPP loans with which I have knowledge are being applied for by entities that really don't need them. Many of them are from companies that are not even affected by the virus. They are being told that the loan is a reward for not laying off people, even though the people would not be laid off anyway. Seems like the $$$ is going to those who are creditworthy to begin with and have strong banking connections. "Creditworthy to begin with" implies they would scarcely be affected by 8 weeks of measurement. What is wrong with this picture??

Thanks. Where am I going wrong? I was under the impression that there would be a pure credit (not a deferral to pay later) available to some employers and was referred to Form 7200. I was wondering whether a forgiveable loan would disqualify an employer from taking this credit. From the post above, I'm reading that a PPP loan would entitle the employer to take the credit, but would have to pay it back over two years. Are we talking about two different things, or am I just messed up in my head? I have read the sticky post above from Dan with the link to everything - this should be considered the gospel on these subjects. But even the sections 1102, 1106, and 1110 are so full of cross-references it is impossible to understand.