Ask The Experts Segment On November 29th, 2021, Joel Gratz, Managing Partner here at Christianson, and Kyle Sonstelie, Senior Accountant, joined Bill Dean on KWLM during the "Ask the Experts" segment. This month, Joel, Kyle, and Bill took a minute to chat about Farm Tax Planning. Listen Here! Read More...
USDA Update on Biofuel Producer Program
Over the weekend USDA published the pandemic relief NOFA (Notice of Funding Availability) for $700 million for eligible ethanol and renewable fuel producers in the Federal Register. Biofuel Producers will have until Midnight EST on February 11th to complete the application process. Because these funds are quite limited, it may be beneficial to apply as quickly as possible, you can always utilize our team which has knowledge of and experience with USDA programs. Every plant may have a unique situation, and industry conditions from early 2020 will impact the calculation, but we are here to help you and your team answer any questions you might have. This is a new program, and USDA has not provided specifics regarding certain Read More...
Ask the Experts – Minnesota Pass-through Entity Tax Credit
Ask The Experts Segment On November 29th, 2021, Joel Gratz, Managing Partner here at Christianson, and Jamie Gades, Finance Manager, joined Bill Dean on KWLM during the "Ask the Experts" segment. This month, Joel, Jamie, and Bill took a minute to chat about the new Minnesota Pass-through Entity Tax Credit and how it may impact business owners. Listen Here! Read More...
Update on USDA Aid for Biofuels Producers
On June 15th, it was announced that Biofuel Producers would receive $700M in aid, as part of a package to assist industries recovering from the financial devastation of the coronavirus pandemic. At that time, The USDA said it plans to implement the aid in the next 60 days. To date, there has been no further information released and no Biofuel Producers have received any aid from pandemic packages. USDA plans to announce funding through a Notice of Funding Availability (NOFA). At the time of the announcement or publication in the Federal Register, Biofuel Producers will have a set amount of time, potentially only 30 or 45 days, to complete the application process. Because these funds are quite limited, it may be beneficial to apply as Read More...
Pandemic Livestock Indemnity Program Extended Deadline
USDA is providing additional time for livestock and poultry producers to apply for the Pandemic Livestock Indemnity Program (PLIP). The deadline has been extended from Sept. 17 to Oct. 12. Producers who suffered losses during the pandemic due to insufficient access to processing may now apply for assistance for those losses and the cost of depopulation and disposal of the animals through Oct. 12, according to USDA's Farm Service Agency (FSA). In a recent FSA release, they stated that livestock and poultry producers were among the hardest hit by the pandemic. They want to ensure that all eligible producers have the opportunity to apply for this critical assistance. The October 12 deadline also aligns with the Coronavirus Food Read More...
Minnesota Department of Revenue Set to Begin Processing Unemployment Insurance and Paycheck Protection Program Refunds
Earlier this month Minnesota Department of Revenue announced that the processing of returns impacted by tax law changes made to the treatment of Unemployment Insurance compensation and Paycheck Protection Program loan forgiveness will begin the week of September 13. “We know these refunds are important to those taxpayers who have experienced hardships over the last year and a half,” said Revenue Commissioner Robert Doty. “We made the decision to adjust nearly all of these returns on our end so that impacted taxpayers would not need to take the time and resources to file an amended return, which would further delay the refund they’re due.” Revenue and MNIT staff have been working through the summer and early fall to update 2020 tax Read More...
Eligible Businesses: Claim The Employee Retention Tax Credit
The Employee Retention Tax Credit (ERTC) is a valuable tax break that was extended and modified by the American Rescue Plan Act (ARPA), enacted in March of 2021. Here’s a rundown of the rules. Background Back in March of 2020, Congress originally enacted the ERTC in the CARES Act to encourage employers to hire and retain employees during the pandemic. At that time, the ERTC applied to wages paid after March 12, 2020, and before January 1, 2021. However, Congress later modified and extended the ERTC to apply to wages paid before July 1, 2021. The ARPA again extended and modified the ERTC to apply to wages paid after June 30, 2021, and before January 1, 2022. Thus, an eligible employer can claim the refundable ERTC against “applicable Read More...
SBA PPP Direct Forgiveness Portal has Opened
As of today, August 4, 2021, the Small Business Administration (SBA) has opened its SBA PPP Direct Forgiveness Portal. The portal will allow borrowers to apply for forgiveness on loans of $150,000 or less directly through the SBA as opposed to applying through their lender, provided that the lender has opted into the program. Click here to visit the portal and register: https://directforgiveness.sba.gov/ Click here to download the SBA’s user guide: https://sba-forgiveness-docs.s3-us-gov-west-1.amazonaws.com/SBA-PPP-DF-User-Guide.pdf If you have further questions about the SBA PPP Direct Forgiveness Portal, please contact us, and be sure to visit our COVID-19 Resource Center for additional resources and regular updates. Read More...
There’s Currently a “Stepped-Up Basis” If You Inherit Property — But Will It Last??
If you’re planning your estate, or you’ve recently inherited assets, you may be unsure of the “cost” (or “basis”) for tax purposes. The current rules Under the current fair market value basis rules (also known as the “step-up and step-down” rules), an heir receives a basis in inherited property equal to its date-of-death value. So, for example, if your grandmother bought stock in 1935 for $500 and it’s worth $1 million at her death, the basis is stepped up to $1 million in the hands of your grandmother’s heirs — and all of that gain escapes federal income tax. The fair market value basis rules apply to inherited property that’s includible in the deceased’s gross estate, and those rules also apply to property inherited from foreign Read More...
IRS Audits May Be Increasing, So Be Prepared
The IRS just released its audit statistics for the 2020 fiscal year and fewer taxpayers had their returns examined as compared with prior years. But even though a small percentage of returns are being chosen for audit these days, that will be little consolation if yours is one of them. Latest statistics Overall, just 0.5% of individual tax returns were audited in 2020. However, as in the past, those with higher incomes were audited at higher rates. For example, in 2020, 2.2% of taxpayers with adjusted gross incomes (AGIs) of between $1 million and $5 million were audited. Among the richest taxpayers, those with AGIs of $10 million and more, 7% of returns were audited in 2020. These are among the lowest percentages of audits Read More...
