Economic Stimulus: Federal Response to the Coronavirus Pandemic: Including the American Rescue Plan
Author: Paul J. Winn
| CPE Credit: |
2 hours for CPAs
2 hours Federal Tax Law Updates for EAs and OTRPs
2 hours Federal Tax Updates for CTEC |
On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), legislation designed to provide economic relief for those impacted by COVID19, became law. This course provides a general review of the principal provisions of the CARES Act and of other federal tax-related stimulus legislation passed during 2020. In addition, the current course includes a discussion of the American Rescue Tax Plan Act (ARPA) that became law on March 11, 2021.
The course begins with an examination of three important provisions of the CARES Act: recovery rebates, the Paycheck Protection Program (PPP) and federal Pandemic Unemployment Assistance. It considers the CARES Act recovery rebates specifically with respect to filing status, the associated amount of the rebate, and the effect of a taxpayer’s adjusted gross income on the tax treatment of the rebate and the taxpayer’s eligibility for it. The PPP’s provisions for SBA forgivable loans and taxability of loan proceeds is discussed as are the federal Pandemic Unemployment Assistance (PUA) provisions of the CARES Act, including its enhancement and augmentation of normal unemployment benefits, and the ways in which PUA benefits differ from other types of unemployment benefits. It also addresses several additional issues, including the changes brought about by the Act with respect to health savings accounts (HSAs), qualified medical expenses, high deductible health plans (HDHPs), foreign earned income, tax-free exchanges of investment property, correction of the Tax Cuts and Jobs Act provision addressing the depreciable period applicable to qualified improvement property, changes to the deduction of losses by non-corporate taxpayers, modifications of business interest limitations, employer student loan payments and SBA loans referred to as economic injury disaster loans (EIDLs).
This course is excluded from the following subscription programs:
Value Pass, Self-Study Package, Webinar Package, Self-Study & Webinar Package, and Firm Package.
Publication Date: March 2021
Topics Covered
- Rebates, Payroll, and Unemployment Assistance
- Charitable Contributions, Retirement Funds, and NOLs
- Miscellaneous CARES Provisions
- Additional Economic Stimulus Legislation
Learning Objectives
- Identify and apply the recovery rebate rules
- Describe the provisions of the Paycheck Protection Program
- Recognize the rules related to unemployment benefits under the Pandemic Unemployment Assistance program
- Identity and apply the provisions regarding expanded tax-favored use of retirement funds;
- Identify the changes to net operating loss (NOL) carryback rules
- Identify and apply the changes in charitable contribution rules
- Describe the changes in health savings account (HSA) rules related to first-dollar payment for telehealth and COVID-19 testing and treatment
- Identify and apply the rule changes to qualified improvement property depreciation
- Recognize the rules related to miscellaneous provisions
- Describe primary objective of the Coronavirus Preparedness and Response Supplemental Appropriations Act;
- Identify the principal intent of the Families First Coronavirus Response Act (FFCRA)
- Recognize the impact of the Paycheck Protection Program and Health Care Enhancement Act
- Identify the principal individual income tax provisions of the American Rescue Plan Act (ARPA)
Level
Update
Instructional Method
Self-Study
NASBA Field of Study
Taxes (2 hours)
Program Prerequisites
Basic understanding of tax preparation.
Advance Preparation
None
