HOW TO ACCESS COVID-19 TAX CREDITS IF YOU’RE SELF-EMPLOYED FTR TAX TIP OF THE MONTH
BIRTHDAY CAKE BAKED OATMEAL FOR ONE (YES, REALLY)
If you were an employee during 2020 and COVID-19 affected your family, you probably received some type of benefit from your company. You might have been eligible for up to two weeks of paid time off if you were infected, had to care for a family member who contracted COVID-19, or needed to stay home to watch your kids when schools closed. These relief measures helped millions of Americans, but they left self-employed people out in the cold — at least, that’s what most of us assumed! In reality, there IS a safety net for self-employed people built into the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which was passed by Congress in March. The difficult part is that if you’re an entrepreneur, you can’t access that relief until you file your 2020 tax return this spring. That process requires a Form 7202, which was released as a draft by the IRS in late November. They’re still finalizing the particulars, but this form will allow eligible self-employed individuals affected by COVID-19 during 2020 to claim a tax credit (a dollar-for-dollar reduction of tax). If that includes you, you’re in luck! You simply need to include a Form 7202 when filing your 2020 tax return. There are two parts to the form. Part one calculates the tax credit you’ll receive if you were directly impacted by COVID-19 (for example if you got sick and tested positive, had to quarantine because you were exposed, or had to take care of a family member who was sick). Part two of the form gives you an additional credit if you had to provide care for a child who stayed home from daycare or school because of COVID-19. The final credit amounts will be calculated based on your net self- employment earnings for 2020. You’ll receive, at most, $7,110 for part one and $10,000 for part two, depending on your circumstances. If you’re in this situation or know someone who is, I can help make sure the Form 7202 is filled out correctly and you (or they!) get relief. Reach out to me today at 262-752-6992 or direct your entrepreneurial friends and family my way.
Inspired by ItsTaylerMarie.org
Did you know that January is National Oatmeal Month? If you tend to think of oatmeal as boring, this fun dessert-themed recipe just might change your mind. To go all out, top with a candle and a dollop of whipped cream.
• • • • •
1/2 cup old-fashioned rolled oats 1 browning banana, mashed
Splash of vanilla extract 1 tsp brown sugar, honey, or maple syrup
1/2 cup milk
1/2 tsp cinnamon 1 tsp baking powder
2 tsp sprinkles
1. Preheat your oven to 350 F and prepare a small oven-safe dish. 2. In a small bowl, combine all of the ingredients except the sprinkles. 3. Pour the oatmeal mixture into the prepared baking dish. 4. Bake for 25 minutes or until the oatmeal is golden brown. 5. Let the oatmeal cool slightly, top with sprinkles, and dig in!
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