Coronavirus relief update: Executive orders signed, offering more relief

Tax Law and News IRS

President Trump signed four executive orders related to coronavirus relief. The four executive orders are intended to deliver relief through a range of measures, including expanded unemployment insurance, a payroll tax deferment, student loan relief, and a moratorium on evictions.

The U.S. Treasury still needs to issue final guidance on the executive orders just signed, but Intuit® Accountants is here to break down what’s included in the four executive orders and will be here for you once final guidelines are issued.

Expanded unemployment

The order calls for an expansion of unemployment aid, providing Americans who are unemployed an additional $400 per week in federal unemployment insurance. This comes after the expiration of the $600 per week in federal unemployment under the CARES Act, which expired on July 31.

Payroll tax deferment

The order calls for a payroll tax deferment or payroll tax holiday to defer payroll taxes for employees earning less than $100,000 per year, which could be retroactive from Aug. 1, 2020, through the end of the year.

Extended student loan relief

Under the CARES Act, students could forgo paying their student loans through Sept. 30, 2020, interest free. The President signed the “Memorandum on Continued Student Loan Payment Relief During the COVID-19 Pandemic” with the intention of extending that relief through the end of the year.

Eviction moratorium

Under the CARES Act, the eviction moratorium protecting renters from eviction if they were in buildings with mortgages secured by the federal government expired the end of July. The fourth executive order may extend those protections for certain renters.

 

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Comments (2) Leave your comment

  1. Has the US Treasury issued any guidance on President Trump’s executive order on the withholding of social security tax on employees?
    September 1 is fast approaching!

  2. Regarding the new payroll tax deferral. I read it was only ss tax and beginning sep1, not aug1.
    Also there are questions by company that is not legal and they may not implement it because
    if it is eventually forgiven how will they apply to employees that are no longer employed by the company after jan 1, 2021

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