Compliance Stuff

Since 2019, Congress has enacted three major pieces of legislation impacting retirement plans, significantly changing the retirement landscape. The legislation contained a number of amendments to the Internal Revenue Code and the Employee Retirement Income Security Act, as amended, that impact employer-sponsored retirement plans (e.g., 401(k) plans, 403(b) plans, defined benefit plans, and even Puerto Rico plans). In a nutshell, the legislation we’re talking about includes: SECURE Act (1.0) .  Signed into law on December 2019, the Setting Every Community Up for Retirement Enhancement (SECURE) Act was by far the most significant overhaul of the retirement plan landscape since the Pension Protection Act of 2006. Click  here  and  here  for more information. CARES Act.   The Coronavirus Aid, Relief, and Economic Security (CARES) Act was signed into law on March 27, 2020.  T he CARES Act included provisions that provided a much-needed lifeline fo...

While the One Big Beautiful Bill Act made headlines for tax and spending cuts, it also contains significant changes to the federal government’s treatment of COVID era Employee Retention Tax Credit (ERC) claims — many of which are still pending with the IRS. Taxpayers and ERC advisers need to understand these changes, and how they could impact pending claims and potential liability. Congress designed the ERC to encourage businesses to retain employees during the COVID-19 pandemic. The CARES Act allowed certain employers to receive a tax credit for the first quarter of 2020 through the second quarter of 2021 . The American Rescue Plan (ARPA), passed in March 2021, extended the ERC (with certain restrictions) through the fourth quarter of 2021. The ERC’s complexity, combined with widespread marketing by promoters, created a backlog of questionable claims that the IRS is still struggling to review. As of August 2024, the IRS had disallowed 28,000 claims with an estimated worth of approxim...

The Employee Retention Credit (ERC) was introduced as part of the March 2020 Coronavirus Aid, Relief, and Economic Security (CARES) Act to encourage businesses to maintain their workforce during the economic disruptions of the COVID-19 pandemic . Over time, legislative developments—most notably through the December 2020 Consolidated Appropriations Act and the March 2021 American Rescue Plan Act—expanded both the eligibility criteria and the potential credit amounts. Despite the intention of the ERC to serve as a swift economic lifeline, numerous businesses have encountered significant delays in receiving their anticipated funds from the Internal Revenue Service (IRS or the Service) . These delays create significant cash flow challenges, as many small business owners have taken on additional liabilities or made operational decisions in reliance on receiving ERC refunds. We are providing this update to help our employer and business clients understand why their ERC funds may be delayed a...

On July 4, 2025, President Donald Trump signed a comprehensive  budget reconciliation bill  into law, loosening rules around health savings accounts (HSAs), extending telehealth relief, and providing additional income tax relief for tips, overtime pay, and some popular employee fringe benefits. Quick Hits The budget reconciliation bill makes important changes to health savings account (HSA) eligibility and reimbursements, including retroactively restoring the telehealth relief provided by the CARES Act. It also addresses tax relief provided to several fringe benefits. The law also eliminates income taxes on tips and overtime pay. Coverage for Telehealth Services The law makes permanent the  telehealth provisions from the CARES Act in 2020  and subsequent guidance that allow high-deductible health plans (HDHPs) to cover telehealth and other remote medical services before the deductible and still qualify as an HSA-eligible plan . This provision had expired at the end o...

  Signed into law March of 2020, The Coronavirus Aid Relieve and Economic Security Act was a stimulus bill to assist with the economic issues resulting from COVID-19.     On February 9, 2024, the Department of Veterans Affairs (VA) issued a circular that reiterates the options for disaster modifications and loan deferment and extends the options available for borrowers affected by COVID-19 through May 31, 2024.  According to the circular, a servicer can provide a VA disaster modification without VA preapproval until May 31 regardless of the borrower's enrollment in a COVID-19 forbearance plan, COVID-19's impact on the default.    The VA is allowing for disaster extend modifications to extend the loan's original maturity date up to 18 months, instead of the standard 12 months, if the loan is modified no later than May 31, 2024.   Regarding requirements and restrictions, the circular will also grant servicers the flexibility to offer loan deferment ...