The RESTAURANTS Act: Will Congress Deliver Additional Financial Relief?
As the COVID-19 pandemic continues to take a toll on the U.S. economy, restaurants and bars remain among the hardest-hit businesses. A bill pending in Congress, if enacted, would provide the industry with much-needed financial relief. The tortuously named Real Economic Support That Acknowledges Unique Restaurant Assistance Needed To Survive (RESTAURANTS) Act of 2020 would […]
PPP Application Deadline Extended — $129 Billion Available
Frank L. Washelesky
In June, the Paycheck Protection Program (PPP) Flexibility Act was signed into law, making it easier for many businesses to benefit from forgivable PPP loans. This was good news for restaurants, many of which had declined to apply for loans because of the Program’s strict requirements regarding rehiring of staff, use of the funds and […]
Paycheck Protection Program Gets a Refresh
Frank L. Washelesky
The Paycheck Protection Program (PPP) has received a partial makeover. The PPP Flexibility Act (“Flexibility Act”), signed into law on June 5 together with new Small Business Administration (SBA) guidance, eases some of the restrictions that made it difficult for many businesses — restaurants in particular — to take full advantage of the program. Among […]
CARES Act Creates Tax Refund Opportunity for Many Restaurants
Brian R. Israel
The Coronavirus Aid, Relief, and Economic Security (CARES) Act established the Paycheck Protection Program, authorized stimulus checks for many Americans, and provided other economic relief for individuals and businesses. One provision that should not be overlooked corrects a technical glitch that has deprived many restaurants and other businesses of accelerated depreciation deductions for certain building […]
Playing Your Cards Right: Can You Defer Taxes on Gift Card Sales?
Many restaurants sell gift cards that can be redeemed for meals or for merchandise. For tax purposes, these sales are considered “advance payments,” which generally are included in taxable income when they are received. But there may be an opportunity to defer some or all of this income into the following tax year. Are you […]
Is Your Restaurant Required to Participate in the Illinois Secure Choice Savings Program?
The Illinois Secure Choice Savings Program is a simple and convenient state-sponsored retirement savings program for employers who do not already offer a qualified plan. With Illinois Secure Choice, employers can help their hard-working employees save for their retirement. Under the Illinois Secure Choice Savings Program, covered employers do not contribute to employees’ accounts or […]
SECURE Act Expands Access to Multiple Employer Retirement Plans
The Setting Every Community Up for Retirement Enhancement (SECURE) Act increases access to multiple employer plans to help employees save for retirement.
Chicago’s New Fair Workweek Ordinance: Get Ready for Predictive Scheduling
Brian R. Israel
Recently, Chicago joined the growing ranks of cities that have enacted “fair workweek” ordinances. These ordinances are designed to ensure more predictable work shifts for employees in certain industries, including restaurants, allowing employees to maximize their income while maintaining a work-life balance. Chicago’s ordinance — which is expected to effect July 1, 2020 — strives to accomplish this goal by requiring employers to provide employees with at least 10 days’ advance notice of their work schedules and to compensate them for last-minute changes.
A New Recipe for Lease Accounting: How Will It Affect Your Restaurant?
Many restaurants rely on leasing to acquire essential assets, from physical space and furniture to kitchen and bar equipment to point-of-sale (POS) systems. If your business has a substantial number of leases, be aware that new accounting rules — which bring most leases onto the balance sheet — may have a significant impact on your […]
Illinois’ New Minimum Wage Law: Much More Than a Rate Hike
Illinois recently joined the growing list of states increasing their minimum wage. On February 19, Governor Pritzker signed the Lifting Up Illinois Working Families Act (the Act), which amends the Illinois Minimum Wage Law (IMWL) to gradually increase the state’s minimum wage from its current rate of $8.25 per hour to $15 per hour by […]