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Preface
When the 6th Edition of Tax Planning & Compliance for Tax‐Exempt Organizations was released and shipped in early March 2020, news of the COVID‐19 virus was starting to appear in the daily news. 2020 was a year we were challenged with issues without precedence or history including the new virus, a rare derecho storm in Iowa, huge Economic Impact Payment (EIP) payments to aid thousands of citizens, the worst forest fires ever burning in California, Oregon, and Washington State, and a violent storming of the Capital Building in Washington D.C. by supporters of Donald Trump protesting the election of Joe Biden.
A countless number of new tax provisions, government policies and awards emerged after March. The work normally conducted in business offices became virtual work at home or remote locations. As I wrote this preface and prepared the 2021 supplement, news reports of serious COVID outbreaks remind us of the virulence of this virus that is predicted to stay with us for much longer than we wish.
Developments from the period after the text was finalized are presented in this supplement to update the 6th edition so far. I fear this pandemic is giving us an enhanced task of continually staying abreast of new developments and solutions as they emerge on a daily basis.
Jody Blazek
February 1, 2021
CHAPTER 1 Distinguishing Characteristics of Tax‐Exempt Organizations
§ 1.8 Developments Responding to COVID‐19 (a) CARES and SECURE Acts (b) IRS Delays in Tax Payment and Return Due Dates
p. 25. Add new subsection:
§ 1.8 Developments Responding to COVID‐19
Disruption of the normally smooth‐running tax reporting and collection system in the United States due to events surrounding the COVID‐19 pandemic beginning in March 2020 was extensive and in some ways disturbing in retrospect. In a humane way, we turned our attention to distancing and masking and other steps taken to curtail the viral spread.
We were filled with empathy and concern to stop the spread by protecting ourselves and citizens and establishing practices to do so.
(a) CARES and SECURE Acts
The Coronavirus Aid, Relief, and Economic Security Act (CARES Act) was signed into law on March 27. The $2 trillion stimulus bill was intended to provide financial relief to individuals and businesses directly affected by the coronavirus pandemic. Cash payments went to individuals below the income level listed below, along with grants to businesses. Awards of $1,200 per individual or $2,400 per couple plus an additional $500 for each qualifying child were paid. Eligible awardees were those
