The Federal and Maine governments have provided for certain tax extensions and credits to support businesses during the COVID-19 pandemic. Read below for more details.
State & Federal Tax Filings
The 2019 income tax filing and payment deadlines for all taxpayers who file and pay their Federal income taxes on April 15, 2020, are automatically extended until July 15, 2020. This relief applies to all individual returns, trusts, and corporations. This relief is automatic, taxpayers do not need to file any additional forms or call the IRS to qualify.
This relief also includes estimated tax payments for tax year 2020 that are due on April 15, 2020.
Penalties and interest will begin to accrue on any remaining unpaid balances as of July 16, 2020. You will automatically avoid interest and penalties on the taxes paid by July 15.”
As of March 27th, Maine extended the deadline for state filing and payments to July 15, 2020 as well to align with the Federal deadlines
Learn more at: www.irs.gov/coronavirus
Employee Retention Tax Credit
Earn up to $5,000 in tax credits per employee on your payroll – or get a refund at the end of the quarter.
Businesses who have experienced a significant decline in gross receipts in 2020 and are paying workers may be eligible for a tax credit for up to $5,000 per employee – payable immediately at the end of each quarter in 2020.
Note: Businesses who have a Paycheck Protection Program loan are not eligible. Self-employed wages are not eligible.
Watch our brief summary above for more information and then talk to your accountant or bookkeeper to file for the employee retention tax credit using IRS Form 941.
- Employee Retention Tax Credit (CEI Powerpoint)