Treavor Dodsworth CFP®, CPA, CKA®
#127 - COVID Related Tax Credit
Over the last couple of years, there have been several changes to personal finance due to the impact COVID has had. For example, many are aware of the Economic Impact Payments (stimulus checks) and the Paycheck Protection Program. Several of these changes have come and gone. One that still could impact many individuals is reported on Form 7202 - Credits for Sick Leave and Family Leave for Certain Self-Employed Individuals.
This is a tax credit that certain eligible self-employed individuals may be able to receive if they were unable to perform services due to certain COVID-related circumstances between January 1st, 2021 and September 30, 2021.
Not all circumstances qualify but many do. For example, if you are unable to perform services because you are caring for a child whose school was closed due to COVID you might qualify.
This credit can be confusing. For example, some of the COVID-related circumstances are only eligible for part of the year. If you think there is even a remote possibility you qualify, read through the instructions and other documentation (or reach out) as it could be worth several thousand dollars depending on your situation.
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IRA Help - Making a Spousal IRA Contribution
Sarah explains what a spousal IRA contribution is and scenarios where it would come into play.
Thank you for reading!