We are currently being bombarded by legislation aimed at providing financial relief to Americans suffering from the impact of Covid-19. At the Centre for Mediation and Dispute Resolution, part of our mission is to help families be more informed. This mission is even more pressing today, a surreal time when we are all trying to process an overload of information with compromised attention spans.
We hope this listing provides an impetus to follow up on some of the existing relief packages and the motivation to keep informed on new benefits as they unfold. This listing is presented for informational purposes only and does not constitute legal, accounting, tax or other professional advice.
State (Massachusetts) and Federal tax filing extension to July 15, 2020
Taxpayers may be eligible to apply for deferral of deferred tax liabilities
Enhanced unemployment benefits (CARES Act) may apply to self-employed (e.g., Uber/Lyft drivers, consultants, independent contractions)
Enhanced unemployment benefits for part-time and full-time workers impacted by shut downs or unable to work due to COVID-19 related reasons
High deductible health plans may cover testing and treatment for COVID-19 without jeopardizing eligibility for health savings plans
Retirement distributions of up to $100,000 may apply without 10% penalty for premature withdrawals if repaid over three (3) years with amortized taxation over the 3-year period, dated from the date of the distribution
Loans from retirement plans may qualify for increased borrowing from the previous ceiling of $50,000 and 50% to $100,000 and 100% of vested benefits
Retirement loan paybacks may be extended by one year
Federal educational loans may be in forbearance with no required automatic payments, no interest, and no late fees to September 30, 2020. Interest on continued payments may be counted as principal.
Cash contributions to charities may constitute a deduction to your income, for tax filings, even if you do not itemize up to $300/individual
Check with automobile insurers to see if there is a refund policy for reduced driving due to the COVID-19 situation
Check with mortgage lenders on any forbearance policies
More important than any of these efforts to reduce the financial impact of the pandemic, we at CMDR hope you will all stay safe and healthy.