During these last several weeks of continual discussions about how our known
world has been displaced by another world, we do have some positivity in the
actions by Congress with the CARES Act, as noted below.
Stimulus check. The recovery rebate checks that are being sent out are
actually prepayments to you of a credit you will receive on your 2020 tax return.
For example, if you are single and earn under $75,000 based on your 2019
income you will receive $1,200. If you are married filing jointly and earn less than
$150,000 based on your 2019 income, you will receive $2,400.
There are more details concerning the rebates that depend on your individual
situation.
Here is a link to calculators on-line you can use to figure your amount of rebate, if
any. https://ssfllp.com/cares-act-rebate-calculator/
Please contact us if you have questions.
IRS tax deadline extension. The IRS is extending the federal income tax filing
due date of April 15 to July 15, 2020, without penalty or interest. This is an
automatic extension that applies to all taxpayers, regardless of the amount owed,
including individuals, trusts and estates.
IRA contribution extension. There is also an extension for contributing to last
year’s IRA through July 15, 2020.
Required minimum distribution (RMD) suspended for 2020. Retirees will not
be required to withdraw any amount from their retirement accounts, and no
penalties will be assessed. If you receive automatic or recurring distributions, and
wish to forego receiving these funds for 2020, contact us so we may assist you.
We look forward to talking about some positive Socially Responsible Investing
news in our next letter.