Congress Approves $900B Bill for COVID Relief, Awaiting President’s Signature
NOTE: This article was written prior to President Trump signing the bill. Congress approved a $900 billion bill for additional COVID relief. Below are key takeaways pharmacy owners should be mindful of as they do last minute planning. Paycheck Protection Program (PPP) …
Best Practices for Pharmacists’ Compensation
Sykes and Company, P.A. recommends pharmacists be paid a weekly or biweekly salary, not an hourly wage, and they should be exempt from overtime. Pharmacists may be exempt from overtime under the Professional Exemption, as a Learned Professional. To qualify for the …
How the Cash Accounting Method Can Optimize Tax Savings
Numerous funding programs issued in 2020 have provided independent pharmacies with the opportunity to optimize cash flow and tax savings. After many pharmacies received Paycheck Protection Program (PPP) relief loans, Small Business Administration (SBA) debt relief and Economic Injury Disaster Loan (EIDL) …
Tax Impacts of Accrual vs. Cash Accounting Methods
Have you considered the potential tax savings for your pharmacy if you changed from the accrual accounting method to the cash accounting method? It is one of the most noteworthy tax reform changes for pharmacies under the Tax Cuts & Jobs Act …
CARES Act and Employer-Provided Education Assistance
The CARES Act added a provision to an existing code section that allows an employee to receive, on a tax-free basis, up to $5,250 each year from his or her employer for expenses associated with a “qualified educational assistance program”. This assistance …
Update to the HHS Provider Relief Fund
Pharmacies should be aware that the application deadline for the Phase 2 General Distribution Funding has been extended yet again to September 13, 2020. The General Distribution Funding was enacted through the Coronavirus Aid, Relief, and Economic Security (CARES) Act and the …
Looking Ahead – PPP Loan Forgiveness
The Paycheck Protection Program (PPP) application was relatively easy – send the bank documentation, certify the information is correct and that your pharmacy has been negatively impacted by COVID-19, calculate your “payroll costs”, which was anyone’s guess, and complete the three-page application. …
Federal Reserve – Main Street Lending Program
Another provision within the CARES Act is the Main Street Lending Program which is designed for small and medium-sized businesses. This program is different from the Paycheck Protection Program, or PPP, that has taken the small business community by storm these past …
CARES Act $30 Billion in Provider Relief
Stepping away briefly from the PPP and EIDL loans that have captured many pharmacy owner’s attention these past several days, the CARES Act includes $30 Billion in relief funds that the Department of Health and Humans Services will release to hospitals and …
Update: Tax Deductibility of Expenses under PPP
As we discussed in our email blast on Friday April, 14th, Congress did not specify in the CARES Act whether expenses paid with Paycheck Protection Program (PPP) loan proceeds would be deductible to the extent the PPP loan is forgiven. In other …
