It is tax season and this year the IRS is extending the filing and payment deadline for individuals and the self-employed to May 17. This announcement couldn’t have come at a more opportune time as Americans across the country continue to deal with the fallout of the pandemic.
The IRS will make the postponement applicable to federal income tax payments for the 2020 tax year due on April 15, 2021. Furthermore, there will not be penalties and interest, no matter how much you owe. When it comes to the self-employed, the additional month will give entrepreneurs more time to get their finances in order. Whether it is finding the right documents or getting additional funds to pay their taxes, it will be very helpful. The IRS also wants taxpayers to know you can still apply for an extension if you need it.
You can read the IRS Extends Tax Filing Deadline to May 17 for Individuals and Self-Employed and get all of the details in this week’s roundup.
This is just one of the stories you will find addressing the issues affecting small businesses in the SBT weekly roundup. A couple of other noteworthy news include the extension of the deferment period for all COVID-19 EIDL loans and the fact that banks are not approving many non-PPP loans to small businesses.
Read these and other stories on Small Business Trends’s weekly roundup.
Small Business News Roundup – March 19, 2021
The headlines in the weekly roundup:
The US Senate has confirmed Isabel Guzman as the next Small Business Administration (SBA) Administrator. Guzman will play a key role in implementing the Biden administration’s $1.9 trillion COVID relief bill as it pertains to small business funding programs. Guzman says she’s committed to equity and has a deep knowledge of the needs of small businesses.
With many small businesses continuing to face economic stress and uncertainty because of the Covid-19 pandemic, having access to the advanced tools to streamline payments can prove invaluable. One such product is a new domestic payment product that aims to support small business owners in the US.
Loan approval rates made to small businesses by banks and other lenders have fallen significantly since their peak a year ago. The decline in loan approval rates to small businesses is noted in the latest Biz2Credit Small Business Lending Index. These approval rates refer to non Paycheck Protection Program (PPP) loans.
The SBA has pushed back first-payment due dates for COVID-19 EIDL loans issued in 2020 and 2021. Did you get an Economic Impact Disaster Loan in 2020? If so, your original first-payment due date was 12 months from the date of the loan. The SBA has extended that to 24 months from the loan origination date.
The impact of COVID-19 on American businesses has been significant, but women have been affected more than most. According to the Institute for Women’s Policy Research, at the end of 2020, women’s jobs on non-farm payrolls were 5.3 million below February’s pre-COVID levels, compared with 4.57 million fewer non-farm payroll jobs for men.
Many former corporate CEOs write books after they retire. But no one has written an account of their tenure like former GE CEO Jeff Immelt citing both his accomplishments and shortcomings of guiding a company during crisis and change. I talked to him on the Small Business Radio Show this week about his new book “Hot Seat”.