January 16, 2020
Many people believe that our office doesn't really get busy until February when tax season kicks in. The reality is that for us accountants, January starts laying the ground-work for the entire season. We want you to know the importance of keeping your records complete during the year so that you can file the returns that affect your business in a timely manner. Here are some the returns that many of our clients will need to file or annually review:
1099’s - The January 31st deadline only applies to Form 1099-MISC with an amount listed in Box 7, Nonemployee Compensation. The filing due date for all other Forms 1099 & 1096 remains February 28th, 2020 if filing by paper, and March 31st, 2020 if filed electronically.
Personal Property Taxes - If a small business has less than $80,000 in business personal property located in a single municipality, Form 5076 must be filed and, at a minimum, must be postmarked by February 20. Form 5076 is the Small Business Property Tax Exemption Claim. Form 5076 must be actually received by the assessor by February 20.
If a small business has more than $80,000 in business personal property and is eligible for a manufacturing personal property tax exemption, Form 5278 must be filed with the assessor by February 20. Unlike Form 5076, postmarking is not sufficient. The assessor must receive Form 5278 by February 20.
If a business has more than $80,000 in business personal property and is not eligible for a manufacturing personal property tax exemption, Form 4175 must be filed with the assessor by February 20. Again, unlike Form 5076, postmarking is not sufficient. The assessor must receive Form 4175 by February 20.
Annual Sales, Use & Withholding Taxes - Michigan sales, use and withholding taxes annual return is a return that you must file by February 28, 2020. This form summarizes the monthly/quarterly filing reports you have previously filed.
It is absolutely crucial that you file the correct returns on time in order to make your tax season as smooth as possible. Call our office today if you have any questions regarding what returns you need to file.
We'd like to draw your attention to the new 1099 forms for 2021. If you (as a business) prepare your own 1099’s, please be aware of the changes:
1099-NEC: This form reports nonemployee compensation and/or nonqualified deferred compensation (NQDC). If you are in the trade or business of catching fish, Box 1 may show cash you received for the sale...
We are pleased to announce that Congress changed some of the PPP rules over the weekend. It is important to note that several of the rules have been relaxed; those of you who were getting close to the end of your “8 week window” can now take a deep breath, as that period has been extended. As always, we are staying up-to-date as the new rules are rolled...
Many of you reading this have received, or will soon receive, the Payroll Protection Program (PPP) loan. And that’s good news. Not surprisingly, however, this distribution now shifts the focus to “what qualifies as forgiveness under this program?”
As of now if you spend at least 75% on payroll costs over an 8-week period, from the date you received the funds,...