On June 30, 2021, Governor Ducey signed new legislation that included significant overhauls to state tax laws. Arizona’s Budget Plan, or SB 1783, includes major changes to income tax filing rules that could have big impacts on small businesses. At The Royce CPA Firm, we are following these changes, which could still face challenges from…
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Major Changes to Arizona Income Taxes
Delayed Refunds
Are you still waiting for your income tax refund? If so, get comfortable, because refunds in 2021 are significantly delayed across the board. Millions of Americans have been waiting weeks—or months—to see their refunds come in. The delays are particularly bad for people who claim someone under the age of 18 on their returns, as…
ERC Success Stories
Employee Retention Credits—ERCs—have been a surprising silver lining during the pandemic. Businesses were faced with difficult decisions at the start of the pandemic. With shutdowns and reduced business, many wanted to keep their employees but didn’t know how. Fortunately, the CARES Act introduction of ERCs provided a way forward. Now, we know that not only…
2021 Child Tax Credits
Child tax credits are typically claimed when you file your tax returns. However, if you’re a parent, you’ll be happy to hear that, starting in 2021, child tax credits will be coming in the form of advance payments. The payments represent half of what you qualify for in terms of child tax credits, with the…
Business Meals Now 100% Deductible
Both small businesses and the restaurant industry took a serious plunge during the COVID-19 pandemic. But there seems to be a silver lining ahead. The government is taking steps to revive the economy, including making tax-payer friendly adjustments to business deductions. In 2021 and 2022, business meals will be 100% tax deductible. Read on for…
Tax Deadline is Now May 17th
If you were worried about filing your taxes on time this year, feel free to breathe a sigh of relief. The IRS announced an extension of the deadline for 2020 tax returns from April 15th to Monday, May 17th. But if you need more time to organize your documents, you can still get an extension,…
2021 Tax Strategies: Part 2
As you file your 2020 taxes, you will find that COVID-19 has had some major impacts on the process, as it has on most things over the past year. In fact, the IRS has delayed the start and deadline of tax filing season this year. There are multiple considerations for businesses and individuals alike for…
2021 Tax Strategies: Part 1
The reverberations of the COVID-19 pandemic continue to be felt in most areas of life. These impacts will certainly influence how you file your 2021 taxes. Whether you’re a business owner trying to maximize the credits you receive for keeping employees on the payroll or an individual wondering how working from home over the past…
Balancing ERC and PPP Loan Forgiveness
As the pandemic continues to impact businesses, expanded Employee Retention Credit (ERC) and Paycheck Protection Program (PPP) loan forgiveness options were passed in December 2020 as part of the Consolidated Appropriations Act. This new provision applies retroactively to the pandemic-impacted quarters of 2020 to allow PPP loan recipients to claim ERC for those periods. Further,…
A Look at Our Secure File Exchange Service
When you’re running a business, the last thing you want to add to your plate is running secure documents back and forth to your CPA. We understand that, which is why we offer our clients a secure file exchange service. Using our digital file exchange service, you can send us all of the documents we…
Is Your Business Eligible for the Employee Retention Credit?
It is difficult to overstate how severely COVID-19 has disrupted business. Many business owners navigated complex systems to tap into financial assistance from the federal government, such as PPP loans, in order to keep their employees on the payroll. If you fought hard to protect your employees and continued to pay them even while your…
What You Need to Know about Required Minimum Distributions (RMDs) in 2021
One of the many changes that occurred during 2020 was a modification to required minimum distributions, or RMDs. The CARES Act suspended RMDs in 2020, giving retirees more flexibility in handling their retirement accounts. However, in 2021, those 72 and older should be ready to start taking RMDs. Here is what you need to know….
Video Walkthrough: New Tax Laws for Businesses in 2021
Businesses of all sizes and industries have been through a rough time. Fortunately, help is on the way. In late December of 2020, Congress passed The Consolidated Appropriations Act, 2021. It includes a new round of Paycheck Protection Program (PPP) loans. Here’s what you need to know the effects of these tax changes on your…
Video Walkthrough: New Tax Laws for Individuals in 2021
Welcome to another New Year! Here at The Royce CPA Firm, we’re looking forward to better times ahead. What better way to ring in the New Year than with a look at some of the tax law changes you can expect? The good news is that Congress has approved a new stimulus package. The Consolidated…
Video Walkthrough: Understanding How the PPP Loan Works
As a small business owner, it’s a good idea to make yourself aware of your options for financial assistance during the COVID-19 crisis. One of the most important options available to you is the Paycheck Protection Program (PPP) loan. What is the PPC Loan? This program is designed to help business owners continue to pay…
Video Walkthrough: Applying for the EIDL Loan
If you’re a small business owner, then it’s likely that you’ve been looking at recent news with no small degree of concern. The spread of COVID-19 and the economic repercussions that have accompanied it have had a significant effect on small businesses around the country. However, help is available in the form of the Economic…
What Employers Must Know about COVID-19 and Changed Tax Laws
The COVID-19 pandemic that has swept across the world has prompted a number of changes that affect employers. These changes involve paid sick leave, paid family and medical leave, and the tax credits associated with those policies. Here’s what you need to know. How does COVID-19 affect employees’ paid sick leave? If an employee cannot…
Deducting Foreign Travel
The IRS has very different rules for deducting foreign business travel and for deducting domestic business travel. This month, we’ll focus on FOREIGN business travel, and will follow up next month with the rules for deducting DOMESTIC business travel. First, in order to deduct the full cost of transportation to a foreign country, at least…
Expanded Retirement Option
Effective January 1, 2020, a new law went into place called the SECURE Act (signed on December 20th, 2019). The SECURE Act made many changes to our current retirement laws. Here are some highlights: Under old law, you could not make contributions to a Traditional IRA once you turned 70 ½. Under new law, you…
Top Ways to Defend Against an Audit
Everyone should have a proactive audit defense strategy. Whether you are a business or an individual, you can ensure you have the proper documentation for all of your financial arrangements and transactions. With the right documentation, your certified public accountant (CPA) will have the information necessary to defend you in the event the IRS decides…