Hey buddy. Can you spare a billion dollars?
Apparently Uncle Sam and his state and municipal buddies can.
In fact, because of the economic devastation caused by the COVID-19 epidemic, Uncle Sam and his state buddies have given away many billions of dollars in grants.
Unlike an Economic Injury Disaster Loan (EIDL), which has to be paid back, government grants (by definition), don’t have to be repaid.
But this leaves us with an important question that we’ll answer when you…
Read the full article
“New Laws—COVID-19-Related Government Grants:
Taxable or Not?”
Here are three of the eight facts from the full article:
- Government grants are taxable income to the recipient, unless the tax law makes an exception.
- COVID-19-related grants to individuals are tax-free under the general welfare exclusion.
- EIDL advances will not offset PPP forgiveness, and any such prior offsets will be refunded.
For full details…