Tax Changes in Response to the Coronavirus

Tax Benefits for Individuals

Extension of the filing deadline and payment deadline for individuals until July 15

Individual Retirement Account deposits also delayed until July 15

Many states, including Georgia, have followed this approach

Provides recovery rebates to individuals

$1,200 for individuals
$2,400 for married filing jointly couples
$500 children under 17

Effective April 1 enhanced paid sick leave for individuals adversely impacted by the pandemic

Underwritten 100% by federal funding

Enhanced unemployment for individuals

$600 over weekly state amounts up to 39 weeks

Special rules to permit application of retirement funds

Enhanced charitable deduction starting in 2020

Employer payments, up to $5,250, for student loan payments tax-free to employees

Expanded use of Health Saving Accounts and Flexible Spending Accounts for over-the-counter medicines

Diagnostic and lab testing and vaccines covered by health insurance plans

Tax Benefits for Businesses

Three new loan programs to support businesses

One of the programs provides a forgiven loan to maintain employees at work

Payroll tax relief in delayed payment dates

Reduced payroll tax (via payroll tax credit) for employers to retain and pay workers

Enhanced business benefits in treating business losses and interest expense deduction

Last updated: April 11, 2020

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