Lawmakers reach deal to provide additional fund to Paycheck Protection Program

Payroll Protection Program receives additional funds to help small business hurt by Cornavirus.
Federal government provides additional funds to COVID-19 relief programs.

Lawmakers in Washington D.C. reach deal to provide additional funds to the popular Payroll Protection Program (better known as “PPP”) after the program ran out of initial funding late last week. While there is a possibility of changes to any part of the program, businesses hoping to receive the forgivable loans should work with their bank to file an application ASAP.

Contact P. Christopher Wegner, Managing Attorney, Wegner Law PLLC, at 239.449.9200 or cwegner@wegnerlawfirm.com for more information.

Florida making emergency bridge loans to small businesses

coronavirus bridge loans
State of Florida offering emergency bridge loans for small businesses effected by the coronavirus.

On Monday, March 17, 2020, the State of Florida announced the availability of zero interest short term bridge loans for Florida small businesses impacted by the Coronavirus. These loans are generally available to any qualifying business regardless of current revenue or other similar concerns..

Qualifying businesses are simply any business in the State of Florida, established before March 9, 2020, with between 2 and 100 employees (with exceptions for businesses engaged in gambling, illegal activity, massage or escort type services).

The loans will typically be for $50,000 or less (though loans for more will be approved on a case by case basis) and have a zero percent interest for the first year (increasing to twelve percent per annum after the first year).

This means that a vast majority of small to medium sized business will be able to easily (and quickly) take advantage of this program by applying before May 8, 2020.

If you or your business need help determining if you qualify for this program or applying, please do not hesitate to contact us at 239.449.9200 today.

Small business week

We would like to take this opportunity to thank all of the small businesses in the area that trust us for their business and tax law needs.

Ninety-nine point nine percent (99.9%) of all businesses in the United States are small businesses and we are here to serve everyone of them. We only serve businesses and most of our practice is small to mid-sized businesses like yours that need top notch legal advice at reasonable prices.

If you need an attorney to help your small business with formation, capital raising or day to day legal, give us a call. Our initial consultation is free but our advise is invaluable.

Wegner enters into affiliation with ABN-Law PLLC

ABN-Law PLLC logo.Wegner Law PLLC and ABN-Law PLLC enter into an affiliation agreement to offer more valuable legal services to clients. For Wegner Law PLLC, this means the firm’s business clients will have access to a full range of litigation and real estate services from the trail blazing attorneys at ABN-Law PLLC.

By entering into this arrangement, Wegner Law PLLC marshals the attorneys and experience to truly provide full service legal advice to small and mid-sized businesses in the Southwest Florida area.

Visit the Wegner Law PLLC website in the near future to learn more about this exciting new partnership of the most business minded law firms in Collier and Lee County.

How much should you expect to pay on taxes in 2019

While we are not yet out of 2018, it is about time to begin thinking about 2019 liabilities. (That said, there is still time to lower your 2018 taxes by deferring income and accelerating expenses, etc.).

Before we can design a tax strategy for you and your business, it may help to get an idea of what your rates could be:

2018 tax brackets and income ranges for single taxpayers

  • 10%: $0 to $9,525 of taxable income
  • 12%: $9,526 to $38,700
  • 22%: $38,701 to $82,500
  • 24%: $82,501 to $157,500
  • 32%: $157,501 to $200,000
  • 35%: $200,001 to $500,000
  • 37%: over $500,000
  • Standard deduction: $12,000

2018 tax brackets and income ranges for married taxpayers filing jointly and surviving spouses

  • 10%: $0 to $19,050 of taxable income
  • 12%: $19,051 to $77,400
  • 22%: $77,401 to $165,000
  • 24%: $165,001 to $315,000
  • 32%: $315,001 to $400,000
  • 35%: $400,001 to $600,000
  • 37%: over $600,000
  • Standard deduction: $24,000

2018 tax brackets and income ranges for taxpayers filing as head of household

  • 10%: $0 to $13,600 of taxable income
  • 12%: $13,601 to $51,800
  • 22%: $51,801 to $82,500
  • 24%: $82,501 to $157,500
  • 32%: $157,501 to $200,000
  • 35%: $200,001 to $500,000
  • 37%: over $500,000
  • Standard deduction: $18,000

Tax brackets and deductions from Business Insiderhttps://www.msn.com/en-us/money/taxes/how-the-new-gop-tax-law-will-affect-your-finances-next-year/ar-BBQ1vNi?ocid=spartanntp

Contact Wegner Law PLLC today to learn what we can do for you.

Wegner Law PLLC Closes $1.4 Million Offering

Wegner Law PLLC helped a technology client raise $1,400,000 in capital as part of private offering. P. Christopher Wegner was lead attorney for the offering drafting all significant documents and providing advice on how to follow the complex state and federal securities laws.

To learn more about how Wegner Law PLLC can help you, call us at 239.449.9200 or email us at cwegner@wegnerlawfirm.com.

Senators attempt to delay Wayfair

A small number of Senators have put forth a bill that would prohibit states from imposing sales tax on out of state retailers with less than $10 million in annual sales until the states can agree on how best to implement the new taxes.

North Dakota v. Wayfair, Inc. is the recent Supreme Court case holding that states can impose sales tax on out of state retailers. This proposed legislation is one of the many different ways that federal and state governments are dealing with this drastic change.

To learn more about Wegner Law PLLC or contact us with questions, visit www.wegnerlawfirm.com or call P. Christopher Wegner at 239 449 9200 today. You may also email Chris at cwegner@wegnerlawfirm.com for more information.

Section 199A Sumary

With the introduction of the new tax law at the beginning of this year taxpayers should review any changes that may impact their taxes. One of the most significant additions that will effect many business and business owners is Section 199A. Below is a brief outline of the law and how to apply it to individual taxpayers. After reading, if you have any questions contact Wegner Law PLLC for more information

  • Reduces taxes on all qualified income
  • Deduction applies to Adjusted Gross Income (“below the line”)
  • Deduction does not apply to wages received by the taxpayer
  • Applies to pass-through entities, including:
    • Limited liability companies taxed as subchapter S corporations

    • Limited liability companies taxed as partnerships

    • Partnerships (including, general partnerships, limited partnerships, limited liability partnerships, etc.}

    • Corporations taxed as subchapter S corporations

    • Sole proprietorships

    • Single Member Limited Liability Companies (not taxed as a subchapter S corporation).

  • Does not apply to:
    • Trusts or RIETS
    • “Specified Services” over $315,000 (or $157,000 for single filers) such as:
      • Traditional service professions such as doctors, attorneys, accountants, actuaries and consultants
      • Traditional service professions such as doctors, attorneys, accountants, actuaries and consultants
      • Financial services
      • Athletes
      • “[A]ny trade or business where the principal asset is the reputation or skill” of the owner”
        • Definition specifically excludes engineers and architects from definition of Specified Services
      • Deduction is also limited for all other income over $315,000[5] (or $157,000 for single filers), over $315,000 (or $157,000 for single filers) deduction limited to the lessor of:
        • 20 percent of qualified business income with respect to the qualified trade or business; or

        • The greater of:

          • 50 percent of the W-2 wages with respect to the qualified trade or business; or

          • the sum of 25 percent of the W-2 wages with respect to the qualified trade or business, plus 2.5 percent of the unadjusted basis immediately after acquisition of all qualified property.

        • For purposes of determining the amount to use in calculating the limitation, include all W-2 wages (even to the taxpayer/owner of the business)

Applying Section 199A

1.     Does taxpayer work in a specified service trade or business?

If taxable income is less than $157,500 / $315,000 taxpayer receives full 20% deduction.

If taxable income is greater than $157,500 / $315,000 but less than $207,500 / $415,000 then a partial deduction is available.

If taxable income is over than $207,500 / $415,000 than taxpayer receives no deduction.

2.    All other businesses

If taxable income is less than $157,500 / $315,000 then the 20% deduction is fully available.

If taxable income is greater than $157,500 / $315,000 but less than $207,500 / $415,000 then a partial deduction is available with the W-2 and depreciable asset limit calculations phase in.

If taxable income is greater than $207,500 / $415,000 then the 20% deduction is compared to the full W-2 and depreciable asset limit calculations.