The COVID-19 pandemic is unlike any other crisis we have faced in decades. As contractors continue to work back toward normalcy, it’s critical to learn from recent experience and apply those lessons to preparing for the inevitable disasters and economic downturns of the future. Review Jobs, Backlog and Expenses Take inventory of current jobs and…

Classify Carefully The classification of workers as independent contractors or employees has significant implications — both tax and nontax — for all businesses. But this issue is particularly important for construction companies, given the widespread use of subcontractors in the industry. In recent years, the IRS has been cracking down on employers that misclassify employees…

Construction companies continue to face a serious skilled labor shortage. Although demand for qualified workers has been increasing steadily over the last several years, the impact of the Great Recession continues to limit the supply of candidates to fill those jobs — yes, even all these years later. And the short- and long-term effects of…

On June 3, 2020, the U.S. Senate passed the House version of Paycheck Protection Program (PPP) legislation and the President is expected to sign the bill.  The bill will triple the time allotted for small businesses and other PPP loan recipients to spend the funds and still qualify for forgiveness of the loans. The bill…

The SBA released the Paycheck Protection Program Loan Forgiveness Application on May 15. Read below for a detailed analysis of the application. IMC is offering high-level and extensive assistance with the PPP Loan Application and Forgiveness Process. Reach out today to set up a time to discuss how it may affect your company. Chris Iannuzziciannuzzi@imc-cpa.com248.641.0005…

Today the government issued some much awaited guidance on the issue of businesses being scrutinized and/or audited for their receipt of PPP loans. The guidance comes in FAQ 46 (click here for details). Based on the plain reading they will not question “good faith certifications” for loans of less than $2 million. Treasury states that…

True to their name, recently created qualified opportunity zones (QOZs) may raise attractive opportunities for contractors. But, before taking advantage, familiarize yourself with the requirements of these projects and be on guard against their potential risks. How QOZs Work QOZs were established under the Tax Cuts and Jobs Act. They’re designed to attract investment in…

On Thursday April 30th, the IRS issued Notice 2020-32 to provide guidance on the tax effect of Paycheck Protection Program (PPP) funds. PPP provides funding based on 2.5 months of the prior year’s payroll. The amount of the funds used for Payroll, Rent, Utilities, and certain other expenses over an eight week period are forgiven….

On Friday, March 27, the President signed the massive $2 trillion Coronavirus Stimulus Bill (the Coronavirus Aid, Relief and Economic Security [CARES Act) to provide assistance to workplaces and employees. The law provides many benefits intended to deliver cash into the hands of individuals and businesses, as well as many other tax provisions. BUSINESS TAX…

A LETTER TO OUR CLIENTS / FRIENDS AS WE NAVIGATE THESE UNIQUE TIMES We understand your highest priority is the health and safety of those you love and yourself. Assuming you have a little extra time, here’s an article about non-medical – but important – matters related to the health crisis. Below is a summary…