The Coronavirus Aid, Relief, and Economic Security Act (CARES Act) is intended to stimulate the U.S. economy in light of the COVID-19 pandemic. The CARES Act contains a number of provisions relating to employee benefits and executive compensation.
The CARES Act creates a half-dozen new programs to help distressed businesses and workers deal with COVID-19 and related shutdowns. These programs include forgivable loans, tax credits, and expanded unemployment insurance.
In light of the economic impact COVID-19 has had on both the businesses that have been forced to close and their employees, the Puerto Rico Treasury Department is extending certain benefits.
In light of the State of Emergency declared by Puerto Rico Governor Hon. Wanda Vázquez-Garced, and the closing of most government agencies as a result of Executive Order 2020-023, several employment-related agencies have extended upcoming deadlines.
In the early hours of March 14, 2020, the U.S. House of Representatives passed sweeping legislation in response to the spread of the coronavirus (COVID-19) across the United States.
On February 26, 2020, the IRS published proposed regulations implementing changes made by the Tax Cuts and Jobs Act of 2017 (TCJA) regarding the elimination of deductions for entertainment and the limitation on food and beverage expenses.
On February 20, 2020, the PR Treasury issued Internal Revenue Circular Letter No. 20-08 granting employers temporary income tax exemptions over payments and certain benefits made to employees and contractors related to the recent earthquakes.
The Puerto Rico Treasury Department has issued guidance providing special rules and procedures applicable to distributions from qualified retirement plans and individual retirement accounts following the recent earthquakes.
On December 28, 2019, the Puerto Rico Department of the Treasury issued Internal Revenue Circular Letter No. 19-17 announcing the applicable limits for Puerto Rico qualified retirement plans for 2020.
