September 3, 2020 – Payroll tax holiday? Too good to be true?

You may have heard or seen in the news about the executive order regarding a “payroll tax holiday” beginning on September 1.  The IRS recently issued Notice 2020-65 which provides some additional guidance, but still leaves some questions unanswered.    However, it is important to understand that the tax liability is “deferred,” not forgiven. While the Executive branch can defer a tax, only Congress can forgive it.

That means that employees that choose to apply for the executive action will be required to pay the deferred liability in full at the end of the deferral period in early 2021. And that responsibility falls on the employer.  Employers would then either have to withhold double in early 2021 or pay the deferred taxes from their own funds if the employees are no longer with the organization.

On August 12, 2020, Secretary Mnuchin affirmed that participation was optional, stating “We can’t force people [employers] to participate….”

Therefore, in my opinion, I strongly recommend that my clients do not implement this payroll tax deferral and continue to process payroll as usual. 

As I receive additional guidance about what documentation is necessary to “opt out”, I will keep you informed. 

In the meantime, if you have any questions, please feel free to contact me at Lara@LCSCPA.biz or 317.706.1040.

April 7, 2020

Hello all,
Here are a few new developments & resources available:

The Indiana Department of Workforce Development will be hosting a Facebook Live event right on their FaceBook page at 10:30 a.m. Eastern on Wednesday, April 8th. Our agency leaders will go into details on the federal stimulus package (CARES Act) and how it affects UI benefits for Indiana.  You can get more details at their FaceBook page

Indy Arts & Culture COVID-19 Emergency Relief Fund
The Indy Arts & Culture COVID-19 Emergency Relief Fund was created for individuals working in the arts sector and impacted by the current public health crisis. Primary concern is for the health and well being of individuals: specifically independent artists and staff working for small-to-midsize nonprofit arts and cultural organizations. This fund will provide rapid response $500 grants to help bridge the severe lost wages that make many in our creative community vulnerable.  Click here for more details.


SBA Paycheck Protection Program
The Small Business Administration has released more guidance about the PPP (Paycheck Protection Program).

Please do not hesitate to contact me if you have any questions or concerns.  

April 1, 2020

Paycheck Protection Program Application 

To all my small business clients,
The Department of Treasury has just released the Paycheck Protection Program application.  These are loans that you can get through your local bank  and

  • Can be used for employee salaries under $100,000, paid sick or medical leave, insurance premiums, and mortgage, rent, and utility payments
  • Are 100% forgivable is used for the above purposes and
  • Are available to businesses or 501(c)(3) non profits with less than 500 employees, including sole-proprietors, independent contractors, and other self-employed individuals

Here is the application and accompanying borrower guide.  Please contact your local banker and provide them with this lender guide.  This is a new and evolving program and it is our understanding that virtually all banks and credit union will be able to process program applications, please verify that your bank intends to support the program. 
You can apply starting April 3 for small business and sole proprietorships and April 10 for independent contractors and self-employed individuals.
Please do not hesitate to contact me if you have any questions or concerns.

March 20, 2020

Here is an update on the effect of COVID-19 on tax return filing and payment deadlines.  
Today Treasury Secretary Steven Mnuchin tweeted that President Trump has directed him to move Tax Day to July 15, giving taxpayers more time to file their taxes in the midst of the coronavirus pandemic.  All taxpayers and businesses will have this additional time to file and make payments without interest or penalties. Specific details and IRS guidance on the postponed deadlines are yet to come.
The Indiana Individual tax returns and payments, along with estimated payments originally due by April 15, 2020 are now due on or before July 15, 2020. Returns included are the IT-40, IT40PNR, IT-40RNR, IT-40ES, ES-40 and SC-40. 
Governor Holcomb has also mandated all counties waive penalties for later property tax payments.  The deadline for personal property tax returns will remain May 15, but taxpayers have the right to request a 30 day extension.  You can get more information here
Please do not hesitate to contact me if you have any questions or concerns. 
Thank you for your patience and understanding as we all navigate through this challenging time together.  I wish you all the best for everyone’s health and safety.

March 30, 2020

For my small business clients, I wanted to share these resources.   

Please do not hesitate to contact me if you have any questions or concerns. 
Thank you for your patience and understanding as we all navigate through this challenging time together.  I wish you all the best for everyone’s health and safety.

March 18, 2020

COVID-19: LCSCPA Update to Clients and Friends

Hello all,
We are definitely living in historic times.  To do my part to help prevent the spread of COVID-19 and for the safety of my clients and family, I will be eliminating face-to-face meetings and consultations for the remainder of the filing season. Thankfully technology makes it much easier for me to continue to provide the tax and accounting service you count on.  We can easily communicate via emails and phone calls in lieu of face-to-face meetings, and we can discuss how we can securely share documents and obtain electronic signatures. Documents can also be sent and returned via the US Postal Service.
As of now the individual filing deadline remains April 15, but taxpayers and businesses will now have until July 15, 2020 to pay their taxes without penalties and/or interest.  However, taxpayers must still file or extend their tax returns by April 15. Things continue to evolve and the IRS has yet to provide formal written guidance. I will continue to monitor developments and try to help my clients stay up-to-date.   
Please do not hesitate to contact me if you have any questions or concerns. 
Thank you for your patience and understanding as we all navigate through this challenging time together.  I wish you all the best for everyone’s health and safety.