The CARES Act that was signed into law on March 27, 2020 includes an important provision for taxpayers with various retirement accounts, including 401(k), 403(b), 457(b), traditional Individual Retirement Accounts (IRAs), and designated Roth accounts. For many taxpayers, the law waives their obligation to withdraw a certain amount from such accounts (called a required minimum distribution, or RMD) during tax year 2020.
Under standard IRS rules for the above retirement account types, you would need to accept a 2020 RMD if you turn 72 years of age in 2020, turned 70 1/2 in 2019 or before, or are any age and inherited the account as a beneficiary. RMDs are usually taxed as ordinary income. However, the CARES act allows you to skip your 2020 RMD without penalty. Note that Roth IRAs are not affected by this waiver, since they do not have RMDs under normal circumstances.
My practice is in Severn, MD.
I specialize in the following services for both businesses and individuals:
*Tax Planning &Tax Preparation for business owners and individuals.
* IRS Representation & Tax Resolution for business owners & individuals who have back tax debt.
* Accounting & Payroll: I specialize in helping Real Estate Investors, Personal Service Providers, and Small Business Owners, with book keeping, accounts payable, monthly financial statements, preparing payroll and consulting to improve their bottom line.
* Advisory Services: Cash Flow analysis, Net Worth Analysis, Business Structure Analysis, Quick Books (set up, clean up, conversion, training), IRS Transcript Analysis, Remote CFO.
If you are a small business that is looking for help to navigate the process to get funding I can help you with the best route to pursue to take advantage of the relief programs. I am not a lender agent working with a bank. I provide fixed fee consulting to:
• Explain each product & advise you on what products are most advantageous for you
• Help you calculate an estimate of the loan amount for which you’d qualify and how much could be forgiven
• Tell you what amount to include in payroll for a Schedule C filer versus a Partnership versus a Corporation
• Assist you in gathering the information necessary for completing the loan application(s)
• Determine if your business needs a combination of the relief programs and loans offered
Contact me for any help needed at:
Lisa D Church, CPA, EA, NTPI Fellow, MBA
7865 Clark Station Rd
Severn, MD 21144
877-727-6577 to talk to office support 24/7 to schedule appointments
Or Schedule a free consultation at: https://waterfronttax.setmore.com/