Thanks to the new December law, you can have both tax-free PPP money and tax credits from the ERC.

With good planning on your end—which you have more control of than most, because you are in business for yourself—the various credits could easily put an additional $5,000 or more in your pocket for tax year 2021.

According to testimony before the Senate, the money could run out as early as mid-April. That’s just a few weeks from today.

Uninsured losses to personal non-business property such as your home, personal belongings, or personal car due to a disaster can be deductible. But the rules are complex and not as generous as they used to be.

Disasters are always bad news. But you may be able to deduct your losses. And you are not subject to many of the restrictions that apply to deductions for disaster losses to personal property such as your home, personal car, or personal belongings.

This article explains the federal income tax impact of negative QBI, including negative QBI caused by deducting previously suspended losses.

This article explains why you should consider paying preferred returns instead of guaranteed payments.

The legislation adds a few new federal income tax breaks for businesses and extends a bevy of other business breaks that were set to expire at the end of 2020.

It’s likely that many shell LLCs and corporations were formed to obtain fraudulent PPP loans. This is about to change. In January 2021, Congress passed the Corporate Transparency Act.

Two big deals

Now, retroactive to enactment of the CARES Act in March 2020, thanks to the new COVID-19 relief law, an employer who has or had the PPP in hand can do both the PPP loan and the employee retention credit.