Strategies to Reduce 2020 Tax Liability for Individuals and Businesses (SRTL)

Once the easy tax returns for 2020 are complete by May 2021, tax practitioners face a whole new, more difficult, challenge: how to apply new tax rules to minimize or eliminate altogether the tax liability of individuals and businesses with complex income tax returns for 2020.  The purpose of this program is to discuss and analyze provisions applicable to 2020 income tax returns that help tax practitioners reduce a client’s tax liability. Of particular importance is how the American Rescue Plan Act of 2021 impacts 2020 income tax returns. Practitioners should also be aware of the implications of IRS Notice 2021-20, because it sets forth rules for 2020 relating to the Employee Retention Tax Credit, the PPP loan program, and the interaction of the two provisions.

• Major changes impacting 2020 returns contained in the American Rescue Plan Act of 2021
• IRS Notice 2021-20 changes impacting the Employee Retention Tax Credit and PPP loan repayments for 2020
• Net operating loss rules applicable to 2020 that can generate quick refunds for clients
• The beneficial consequences of taking bonus depreciation on Qualified Improvement Property for years prior to 2020 and generating a larger refund for a prior year
• Maximizing the Employee Retention Tax Credit in 2020 under rules revised at the end of 2020
• Tax extender provisions taxpayers can use in 2020 to reduce their tax liability

• Apply new tax rules to minimize or eliminate the tax liability of individuals and businesses with complex 2020 income tax returns
• Understand provisions applicable to 2020 income tax returns that can potentially reduce a client’s tax liability