FASB Offers Reprieve from Updated Lease and Revenue Recognition Rules
If you’re feeling burned out from coping with extreme circumstances brought on by the COVID-19 pandemic, you’re not alone. Fortunately, the Financial Accounting Standards Board (FASB) and Congress are offering some compliance-related relief for certain entities. Deferral of Revenue Recognition Rules Let’s start with Accounting Standards Update (ASU) No. 2020-05, Revenue from Contracts with Customers (Topic 606)…
Third-Party Risk in a Post-Pandemic World
By Melissa Musser, CPA, CITP, CISA, Principal, Risk & Advisory Services While the COVID-19 pandemic has resulted in unprecedented job loss and economic uncertainty around the world, third-party risk is becoming another important headline for businesses and nonprofits. The economic crisis resulting from the pandemic has exposed a number of issues for historically stable and…
COVID-19 Crisis May Affect Tax Angles for Rental Property Losses
Economic fallout from the COVID-19 crisis will cause many rental real estate properties to run up tax losses in 2020 — and possibly beyond. Here’s a summary of important federal income tax rules for such losses. What You Can Write Off Rental property owners can deduct mortgage interest and real estate taxes. They can also write…
Employees Working at Home? Rethink Your Space Needs
For some employees, working from home is a personally liberating experience that contributes to greater productivity. For others, not so much. By now, if you have had a significant number of employees doing their jobs from home, you may have enough experience to assess whether remote working arrangements are a net plus for your business….
HIPAA Special Enrollment during the COVID-19 Emergency
Here’s a HIPAA-related question from one employer. Q. How long are the extended HIPAA special enrollment periods during the COVID-19 emergency? A. In response to the COVID-19 emergency, the Department of Labor and IRS issued a joint rule extending the HIPAA special enrollment periods for group health plans that are subject to ERISA. (Health and Human Services has…
A Good Time for Making Tax-Smart Family Loans
During the COVID-19 crisis, you may want to loan money to a family member in need of financial assistance. However, before writing out a check, you should review the federal tax rules to ensure that you’re making a tax-smart loan. The good news is that now is generally an advantageous time to lend money to…
Five Ways to Prepare Your Nonprofit for Leadership Change
Has your not-for-profit anticipated a shake-up at the top? If not, it needs to. Perhaps your long-standing CEO will decide it’s time to retire. Or maybe your board will determine that your current leader is ineffectual. Or perhaps your organization will agree to merge with another nonprofit or undertake a restructuring that requires a leader…
Tax-Favored QSBC for the COVID-19 Era and Beyond
The COVID-19 crisis has taken a toll on many small businesses. But some winners are expected to emerge from the wreckage. Unprecedented steps will be taken to guard against health risks from COVID-19 and whatever might come along next. The new normal will create new opportunities. Small businesses that can respond to those opportunities will…
Keep Fundraising During the Pandemic
Fundraising is the lifeblood of virtually every charitable organization. However, the novel coronavirus (COVID-19) has brought the fundraising efforts of many not-for-profits to a virtual standstill. This is particularly true if your nonprofit’s mission is unrelated to human health and services or other causes related to the pandemic. Maybe you’ve operated in challenging circumstances before…
Demystifying Casualty Loss Deductions
The days when you could claim deductions for run-of-the-mill casualty and theft losses of personal property are gone — at least temporarily. The Tax Cuts and Jobs Act (TCJA) generally suspends write-offs for such expenses for 2018 through 2025. However, you can still claim deductions for personal property losses caused by certain federally declared disasters,…