Temporary suspension of property taxes due March 31; no penalty or interest assessed if paid by April 16, 2020.
Governor Reynolds: Pursuant to Iowa Code §29C.6(6) and 135.144(3), in conjunction with the Iowa Department of Public Health, and at the request of multiple counties, I temporarily suspend the regulatory provisions of Iowa Code § 445.39 and Iowa Admin. Code rule 701-75.3, that require the imposition of penalty and interest for delay in payment and direct that no such penalty or interest may be imposed for the duration of this proclamation and any future extension of this suspension. Click here
for more information.
IOWA UNEMPLOYMENT TAX
Governor Reynolds also announced first-quarter unemployment tax payments
typically due April 30 will be delayed until July 31, 2020. According to Iowa Workforce Development, eligible employers include those with 50 or fewer employees and must be in good standing with no delinquencies in quarterly payments. For an employer who elects to take advantage of the extension, contact the Unemployment Insurance Tax Division at either 1-888-848-7442 or by emailing Q1tax@iwd.iowa.gov
Individuals laid off due to COVID-19 can receive unemployment benefits if they meet all other eligibility requests. Claims filed and identified as a result of COVID-19 will not be charged to employers
, and fact-finding interviews for these claims will be waived and not held, although employers will be notified of claims received. Click here
for a full explanation of benefit eligibility.
FEDERAL INCOME TAX CHANGES/PAID LEAVE
- IR-2020-58, Tax Day now July 15: Treasury, IRS extend filing deadline and federal tax payments regardless of amount
- IR-2020-57, Treasury, IRS and Labor announce plan to implement Coronavirus-related paid leave for workers and tax credits for small and midsize businesses to swiftly recover the cost of providing Coronavirus-related leave
- IR-2020-54, IRS: High-deductible health plans can cover coronavirus costs
- Guidance Issued
IOWA TAX CHANGES
- Iowa Withholding tax payment: The income tax withholding deposit due date for the period ending March 15, 2020, from March 25, 2020, to the new deposit due date April 10, 2020. It applies to Iowa residents or other taxpayers doing business in Iowa who remit income tax withholding on a semi-monthly basis.
- Iowa Income tax: The order extends filing and payment deadlines for income, franchise, and moneys and credits taxes with a due date on or after March 19, 2020, and before July 31, 2020, to a new deadline of July 31, 2020.
LOAN FUNDS AVAILABLE
Governor Kim Reynolds announced that the U.S. Small Business Administration (SBA) has issued a disaster declaration that allows pandemic-impacted small businesses to apply for low-interest support loans.
Who qualifies: Small businesses (500 or fewer employees), private nonprofit organizations of any size, small agricultural cooperatives and small aquaculture enterprises that were established by Jan. 31, 2020 and have been financially impacted as a direct result of the COVID-19 (Coronavirus). This assistance is available only to small businesses when SBA determines they are unable to obtain credit elsewhere.
Where to apply: disasterloan.sba.gov/ela
, select apply online and then register if this is your first login. You must submit the completed loan application and a signed and dated IRS Form 4506-T
giving permission for the IRS to provide SBA your tax return information.
How much is available? Loans offer up to $2 million in assistance (per business) and can be used to pay fixed debt, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact.