Tax Changes Under the CARES Act and Employer Payroll Benefit Opportunities

On March 27, 2020, Congress enacted the Coronavirus Aid, Relief, and Economic Security Act (the CARES Act) to further address the economic impact of COVID-19. CARES Act contains income tax and non-income tax provisions that are intended to benefit businesses and individuals. With respect to the income taxes, CARES Act makes several changes to the net operating loss provisions that will allow businesses to preserve liquidity as they receive tax refunds or reduce current income taxes payable. Other changes include changes to the interest expense deduction limitations, recovery of AMT credits, amendments to the bonus depreciation rules, and other important changes.

The FFCRA and the CARES Act provide four distinct benefits to assist employers grappling with employee issues related to the COVID-19 pandemic. Small- to medium-size employers are required to provide paid leave beginning April 1 to employees who are sick, seeking diagnosis, quarantined, or facing child care issues related to COVID-19, but through generous employment tax credits, these employers are fully reimbursed for the paid leave. Employers of any size can obtain a credit of up to $5,000 per employee for retaining employees after March 12. Employers of any size can also defer paying employer social security taxes due for deposit in 2020 to be paid 50% by December 31, 2021 and 50% by December 31, 2022. Optional: Employers are encouraged to set up workshare arrangements which will allow employees that are not fully paid and are partially working to obtain maximum unemployment tax benefits.

Cancellation Policy: Cancellation/transfer requests will be honored until 5:00 p.m. the day preceding the seminar. You will, however, be charged $40 if you cancel or transfer your registration to a different seminar after the link to the materials has been e-mailed by Virginia CLE.

Full refunds or transfers are available up to two days after a webcast in the unlikely event that you experience technical difficulties.

Inclement Weather Policy and Updates.

COURSE SCHEDULE (April 28) (Eastern Time)

• Q&A will be handled via chat room for Webcast attendees.
• Q&A will be handled via e-mail for telephone seminar attendees.

COURSE SCHEDULE (May 12) (Eastern Time)

• Q&A will be handled via chat room for Webcast attendees.
• Q&A will be handled via e-mail for telephone seminar attendees.

COURSE SCHEDULE (June 4) (Eastern Time)

• Q&A will be handled via chat room for Webcast attendees.
• Q&A will be handled via e-mail for telephone seminar attendees.

FACULTY

Olga A. Loy, Winston & Strawn LLP / Chicago, IL
Ruth M Wimer, Winston & Strawn LLP / Washington, DC

ABOUT THE SPEAKERS

Olga A. Loy, Winston & Strawn LLP / Chicago, IL

Olga Loy concentrates her practice on tax and structuring aspects of private equity, venture capital and SBIC fund formation and complex business transactions, including mergers, acquisitions, buyouts, recapitalizations, debt and equity restructurings, and executive compensation.

Ms. Loy represents funds and fund sponsors in structuring, negotiating, and forming private equity and venture capital funds. She plans and structures other complex business transactions, including corporate mergers and acquisitions, leveraged buyouts, recapitalizations, and venture capital investments. Furthermore, she counsels investment advisers, hedge funds, small business investment companies, registered investment companies, and broker-dealers across a wide range of investment management, securities, and general corporate matters. Ms. Loy regularly represents large and mid-size private equity funds and their management companies. These clients invest in North America, Eastern Europe, and Latin America. She also advises real estate funds and investors in tax structuring matters, including REIT counsel and planning and cross-border analysis. Additionally, Ms. Loy is an adjunct professor the University of Illinois College of Law, where she teaches a course on private investment funds and introduces students to business, securities, and tax issues relating to private investment funds with an emphasis on private equity, venture capital, and hedge funds

Ruth M Wimer, Winston & Strawn LLP / Washington, DC

Ruth Wimer is an attorney and a certified public accountant with nearly 30 years of experience previously serving as a senior partner in the national tax department of a Big Four accounting firm. She focuses her practice on matters related to executive compensation, including international, employment taxes and payroll, fringe benefits, personal use of business aircraft, and qualified and nonqualified deferred compensation.

Ms. Wimer has extensive experience advising clients on complex compensation tax issues, including reporting and withholding. She has deep industry knowledge with respect to incentive compensation and multibillion-dollar fee deferral issues for hedge funds and private equity firms. She advises on large deduction timing issues in connection with mergers and acquisitions. Ms. Wimer’s practice includes structuring optimum ownership of private aircraft and business jets, factoring in deduction and income inclusion for personal use, excise tax, depreciation, Securities and Exchange Commission (SEC), Standard Industry Fare Level (SIFL), and Federal Aviation Administration (FAA) issues. Ms. Wimer frequently resolves a gamut of compensation issues such as employment taxes, stock options, Section 162(m), Section 83, deduction limitations, the entertainment disallowance, and a wide variety of fringe benefits, including health insurance.