What Does The Coronavirus Relief Plan Mean for Self-Employed Taxpayers? Here’s What You Need To Know.

With the announcement of the coronavirus relief plan, many business owners scrambled to figure out how this would affect their businesses. While many were happy to be receiving another stimulus check, self-employed taxpayers everywhere wanted to learn how this updated relief package would personally affect them. 

 

 

If you are a self-employed taxpayer or would just like to learn more, here is what the coronavirus relief plan means for self-employed taxpayers.

 

The Families First Coronavirus Response First Act

 

This act was one of the first to be passed from the plan on March 18, 2021, and worked to provide relief for both self-employed and small business owners. Under this act, qualifying individuals can receive a tax credit for the following circumstances:

 

• Self-Employed Tax Credit for Sick & Family Leave
• Small Business Tax Credit for Paid Sick & Family Leave

 

The Pandemic Unemployment Assistance program

 

Typically self-employed taxpayers and other independent contractors are not eligible for unemployment benefits. However, under this program, qualifying individuals who were previously ineligible could receive unemployment benefits. 

 

American Rescue Plan

 

At the beginning of the pandemic, when many Americans were forced to receive unemployment checks, an act was passed stating that the government would add an extra amount of money to every qualifying individual’s unemployment check. 

 

This plan is now being looked at again and was signed into action on March 11, 2021. With this said, individuals receiving unemployment checks can continue receiving payments through September 6, 2021, and can count on an additional $300 being added to every check. 

 

Paycheck Protection Program 

 

This loan program helped many businesses during the height of the pandemic, and an act has been passed for releasing a second round of payments. 

 

This PPP program helps self-employed taxpayers and small business owners pay up to eight weeks of payroll (and other expenses) for their employees. This can make a world of difference for those struggling to keep their doors open and make ends meet.

 

Learn More About The Coronavirus Relief Plan 

 

Self-employed taxpayers and small business owners have enough on their plates without having to worry about tax preparation and planning. 

 

However, it is an essential part of managing your business’s finances and requires time and attention to detail that you may not have, or is better spent on other aspects of your business. Taurus CPA Solutions is here to spearhead your organization’s tax prep and planning on your behalf. 

 

To learn more about what the coronavirus relief plan means for self-employed taxpayers., please contact us here, or give us a call at 410-465-4600. Also, be sure to follow us on Facebook and LinkedIn to keep up with our latest news.