Possible US Tax Relief Due to Coronavirus
Reports have emerged that White House officials are considering deferring taxes for the cruise, travel and airline industries to stem the economic fallout from the outbreak. The tax deferrals for the travel industry are being considered as airlines cut back on routes and warn about declining ticket sales.
Hotel chains are struggling with vacancies in Asia and are bracing for similar waves in the United States. Business travel is falling, and trade shows, music festivals and conventions are being canceled from San Francisco to Chicago to Austin to Miami. Families and college students are reconsidering spring break excursions and distant summer plans.
Other countries have already enacted tax relief for their hardest-hit industries. On Sunday, Italy announced a tax credit for any company that has seen revenue decline by more than a quarter. That is on top of Italy’s announcement last month that companies and individuals in areas affected by the “epidemiological emergency” would be granted an extension on spring tax filings.
Congress should consider tax filing and payment extensions, medical tax credits for household and other virus prevention and recovery costs, capital loss carry-back extensions, and more.Wilson Tax Law Group endorses any tax relief efforts being sought to assist those communities, industries, businesses and individuals negatively affected by the outbreak. Although tax relief doesn't solve the problem it helps mitigate the finacial fallout. In addition to the Feds, the State of California and other states should consider tax relief to individuals and businesses due to the outbreak. If you or your business has comments or concerns or require professional and diligent legal tax help, contact the Wilson Tax Law Group at 949-397-2292.