|Dear Clients and Friends:|
We live in unprecedented times. With events moving at a fast and furious pace, we are trying to stay ahead of the most recent developments and provide solid information and guidance to our clients. With Congress finally passing legislation last night (actually at 1 am), there will need to be another round of analysis. In the meantime, here is where we are at as we face the ongoing challenges of COVID-19.
TAX RETURNS AND PAYMENTS
They have extended the due date for making Federal income tax payments (originally set for April 15, 2020) to July 15, 2020. In addition, the due date for filing your 2019 returns has also been extended until July 15, 2020. The relief provided is available solely to tax payments due on April 15, 2020 for the 2019 tax year, and Federal estimated income tax payments due on April 15, 2020 (for an affected taxpayer’s 2020 taxable year). There is no limit on how much you can owe.
According to our project tracking system, approximately 52% of the expected tax season workflow has been provided to our office, which is actually on pace with prior years. We are currently keeping up with the preparation and delivery of returns; however, we do believe that this may slow down over the remainder of the traditional filing season, as we shift our attention to assisting our clients in dealing with the financial issues of this crisis.
However, at this point, we will note that if you are due a refund, there is no reason to procrastinate on filing. Currently, there are no delays in the processing of refunds, so why leave money on the table when you can put it to good use? We will continue to process the work as it comes in and deliver it as soon as possible.
WHAT ABOUT OUR CLIENTS?
Our greater concern is the financial well-being of our clients (particularly our small business clients) during this period of crisis. With a diversified client base, the effect of the pandemic on our clients is equally diverse. We are currently reaching out to our resources in the community to assemble a database of programs and benefits that may be available to our clients to help them survive during this period of uncertainty, so that they may come out of the other side in the best possible condition. Stay tuned as these programs develop and become available to our clients.
With far too much experience in handling distressed situations in the past, (including, most recently, the 2008 financial crisis), we feel we are well-positioned to provide advice on how to address the challenges that are coming out of this crisis. In this time of uncertainty, issues like the management of cash flow, the availability of bank financing and managing employee layoffs can seem daunting. Please feel free to contact us at any time, even if all you need is a sounding board. We would be happy to chat with you about any issue that concerns you.
DAY TO DAY AT WHC
We are considered an “Essential Business” by the State of Delaware, meaning we are allowed to keep our doors open, but we are following the guidelines provided by the State for keeping our staff and community safe. We are keeping our doors open, but some of our staff are working remotely. We have eliminated face to face meetings with clients and visitors, and we are strongly encouraging everyone to limit foot traffic to our office wherever possible. We can accept or send secured documents via email and will mail to you via Fed-Ex any necessary tax documents. We will also provide you with our Fed-Ex account number so you can forward documents to us securely.
We have posted some information about Delaware’s Emergency Loan Program, Unemployment Benefits, and Pennsylvania businesses, which you may find useful. Also, the following is a brief list of sites where you can find out more about COVID-19 and your business:
For guidance from the state of Delaware for businesses:
For guidance from the State of Delaware regarding business closings:
We will be following up with a review of last night’s legislation as soon as we are able. In the meantime, stay healthy and safe.