This is something we request so often from our clients that I finally asked a client to write up what it looks like on her end so I can post it as a blog entry. This access option is very important to third-parties like bookkeepers and CPAs, because neither we nor our clients want the option for us to authorize transactions, but we need to be able to view banking and credit card activity.
Then — from the eyes of a small business owner who’s done it herself:
1. From the Chase homepage click on Account Management at the top of the page, center.
2. From the drop-down menu that appears click Access & Security Manager.
3. Click Add Authorized User (should be on the right of the screen, under the primary/admin account).
4. You’ll be prompted to receive an activation code on your phone to create the new account.
5. Follow prompts from there to create the new account (It will ask for the new user’s name, email address, phone, username, and temporary password, as well as whether or not to allow mobile access).
6. Once the account is created, there will be an option to the right of that username to manage the account. This is where you can select permissions (they call them “user rights”). Check the desired boxes to grant/limit access for each user.
Chase is constantly changing its user interface, so if these steps have changed since they were written, please let us know so we can update them! Your feedback is sincerely appreciated.
If this or any other posts on the website were useful to you, and your financial situation permits it, please consider contributing to my tip jar. Ths allows me to continue to provide free accounting resources to small businesses who do not have the funds available to hire a CPA.
The key to making extension payments online with the Illinois Department of Revenue is that — for non-business payments — there is no registration or login needed. In fact, you should make sure NOT to log in using the business credentials you might otherwise use for sales taxes or business income taxes.
Instead, simply go to MyTax Illinois, do NOT sign in, and click the button that says “Make an Individual Income Tax payment”. (See screen shot above.)
It will walk you through the Non-Login Payment screens, starting with the following:
Make sure to enter your SSN (not your business EIN), and then click the “Look up my IL-PIN” blue link to the right of the field. It will take you to a verification screen:
When you re-enter your SSN here and select one of the options, it only takes a few moments for the system to return a PIN number that you should copy and enter onto the previous screen. (Pro tip: if you’re using Adjusted Gross Income, use Line 1 from your most recently-filed Illinois tax return — it’s easier to find than AGI from your Federal return, and that way you know it will match Illinois’ records.)
On the next screen, enter the payment type:
In this case, since you’re filing an extension, you want the “IL-505-I Payment”.
(The other options are for quarterly estimated tax payments — IL-1040 Estimated Payment — or for a balance-due with your actual annual state income tax return — IL-1040 Payment. Since this is for an extension, you’ll pick the final one.)
Then you’ll select the tax year for the extension:
Lastly, you’ll enter bank information, payment amount, and date of payment.
Click “Submit” and PRINT/SAVE A COPY OF THE CONFIRMATION PAGE. I know they’ll email this to you, but every once-in-a-while something goes wrong, and it’s good to have proof that you attempted paying on-time.
While you’re at it, send a copy of that confirmation page to your dedicated accountant!
If this or any other posts on the website were useful to you, and your financial situation permits it, please consider contributing to my tip jar. Ths allows me to continue to provide free accounting resources to small businesses who do not have the funds available to hire a CPA.
It’s that time again… Tax Day (May 17th this year, aka my birthday) is upon us and it’s the end of what is certainly one of — if not the — roughest tax seasons in history. Millions of taxpayers will need to have their returns extended for various reasons. What does this mean? The AICPA has released a “Tax Extension FAQ” for CPA members to share with their clients.
What does filing an “extension” do?
• An extension is a form filed with the IRS to request additional time to file your federal tax return. This extends the due date for submitting your individual return to October 15. In some states, filing an extension with the IRS will automatically extend the time to complete a state income tax return. • Filing an extension grants you additional time to submit your complete and accurate return, but you still need to estimate whether you will owe any taxes and pay that estimated balance by the original due date. • Extending your return allows you and your CPA more time to prepare your tax return to ensure the filing of an accurate tax return. In many cases, you may still be waiting for additional information (e.g., Schedules K-1, corrected Forms 1099, etc.) to complete your return.
Why does my CPA suggest we extend my tax return?
• If your CPA has recommended that you file an extension, it may be due to many reasons, such as: – The volume of data or complexity of certain transactions (e.g., sale of a rental property) on your return requires additional time. – The amount of time remaining in filing season is limited for the CPA to complete client returns by the due date* due to late-arriving information. – My note: this year exacerbated the situation by requiring small business CPAs to simultaneously navigate the Restaurant Relief Fund (RRF), PPP1 Forgiveness, and 2020 Employee Retention Credit. • Many CPAs have a “cutoff” or deadline for clients submitting their tax information so they can plan their workload to ensure all client returns and extensions are completed by the due date.* • Your CPA may suggest filing an extension if there are aspects of your return affected by pending guidance or legislation. My note: this is the case for many more clients this year than usual; late-changing tax rules delayed the start of tax season, and waiting for guidance has further stretched it thin.
Am I more likely to be audited if I extend?
• Extending will NOT increase your likelihood of being audited by the IRS. • It is better to file an extension than to file a return that is incomplete or that you have not had time to carefully review before signing.
What are the primary benefits of extending my tax return?
• It provides for additional time to file returns without penalty when you are waiting for missing information or tax documents (such as corrected Forms 1099). Just remember that an extension provides additional time to file, but no additional time to pay. Penalties may be assessed if sufficient payment is not remitted with the extension. • You may qualify for additional retirement planning opportunities or additional time to fund certain types of retirement plans (e.g., SEP IRA). • It is often less expensive (and easier) to file an extension rather than rushing and possibly needing to amend your return later.
Should I do anything differently if I am filing an extension or “going on extension?”
• No, you still should give your CPA whatever information you have as early as possible or as soon as it becomes available. • Expect to pay any anticipated taxes owed by the due date.* You still need to submit all available tax information to your CPA promptly so they can determine if you will have a balance due or if you can expect a refund. • If you are required to make quarterly estimated tax payments, individual first quarter estimated tax payments are due April 15. Your CPA may recommend that you pay the balance due for last year and your first quarter estimated tax payment for this year with your extension. • If you are anticipating a large refund, your CPA will likely try to get your extended return completed as soon as possible once all tax information is available. Your CPA may also want to discuss tax planning opportunities with you so that, in future years, you don’t give the IRS an interest-free loan.
Have there been any changes to the due dates of returns for this year?
• For tax year 2020, the IRS is postponing the deadline for all individual tax returns. – Individual returns otherwise due April 15 will not have to be filed until May 17, 2021. – Certain states have also postponed their filing and/or payment due dates. • Note that victims of natural disasters may be granted extensions, such as victims of the Texas winter storms have until June 15, 2021 to file various individual and business tax returns and to make payments.
My note: I’d like to add that we take filing extensions for our clients very seriously. We collect as much information as we possibly can about the year’s taxable income and deductions, extrapolate based on information from the prior year, and build a complete tax return — filling in estimates where needed. This way, we get as accurate a picture as we can so as to project how much might be owed to the tax agencies. We do our best, although it’s not perfect, and as a result, much more work is involved in putting together an extension than most folks might think.
If this or any other posts on the website were useful to you, and your financial situation permits it, please consider contributing to my tip jar. Ths allows me to continue to provide free accounting resources to small businesses who do not have the funds available to hire a CPA.
Excerpt from SBA email informing an applicant that their application for the RRF was approved.
The Journal of Accountancy reported on May 10th that, “a week after opening the $28.6 billion RRF, the U.S. Small Business Administration (SBA) said late Monday afternoon that it had begun sending out more than $2 billion in a first round of funding to restaurants, bars, and other eligible applicants.”
For the first 21 days the SBA will prioritize reviewing applications from small businesses owned by women, veterans, and socially and economically disadvantaged individuals.
After the first 21 days, the SBA will fund all eligible applications on a first-come, first-served basis. Approved applicants should expect an average of 14 days for processing, review, approval, and funds distribution.
So what will this approval look like for you and your clients? The SBA will send an email with the subject “SBA Restaurant Revitalization Fund – Congratulations – Award Approved”. Enough phishers are out there that it pays to be careful, and so some recipients have ignored it because it seems too good to be true, or were suspicious of the no-reply@sba.gov email address. Remember that the SBA will not ask you for any information or provide a link for you in this email. Do not click on any links. If you have any questions, please contact the SBA’s RRF call-center support at 1-844-279-8898. The are available Monday-Friday, from 8 am – 8 pm ET.
When you log into the SBA’s RRF portal that you registered for before applying — restaurants.sba.gov — you will see, on the left-hand side, a “Status” tab. If your application was approved, it will list your award amount, SBA Number, and application status will say “SBA Decision (Approved)”.
The SBA will process the funding of the award directly to the bank account you provided during the application. Again, do not enter any bank information — this was verified during the application process and the SBA will not ask you for it again. If you have any concerns, please call their support line at 1-844-279-8898. The award will be funded within seven business days of the email notification — check your bank account as the final confirmation that this is real.
Make sure to use the restaurants.sba.gov portal to check your application’s status and monitor any messages from the SBA. They will send an email if they have any issues funding the award, but if you are worried about phishing or the message going to your spam folder, the portal and the call center are resources you can access.
UPDATE: For those not yet in the approval stage: it may appear that your application has reverted to a previous step. Please don’t panic — if more information is needed to process your application, you will receive a note directly from the SBA with an email ending in @sba.gov.
In yesterday’s Journal of Accountancy, they noted that the RRF program received 266,000 applications seeking a total of $65 billion, far more than the $28.6 billion Congress allocated the program. As a result, it has less than half the money needed to fund the existing requests.
“Unless Congress passes legislation providing the RRF with fresh funding, the program looks certain to provide the vast majority of its funding to eligible businesses owned by women, veterans, and socially and economically disadvantaged individuals. The American Rescue Plan Act, P.L. 117-2, which created the RRF, mandated that those businesses, which have submitted 147,000 applications totaling $29 billion, receive priority review for the first 21 days of the program,” the Journal notes.
The SBA said it would keep the RRF application portal open for now, because it still has some portion of funding set aside for eligible establishments with 2019 annual revenue of not more than $50,000.
After the first 21 days, the SBA will fund all eligible applications on a first-come, first-served basis, which is why it was so important to submit on Day One.
UPDATE: The Independent Restaurant Coalition released a fact sheet late this afternoon outlining what’s next and it deserves a read.
If this or any other posts on the website were useful to you, and your financial situation permits it, please consider contributing to my tip jar. Ths allows me to continue to provide free accounting resources to small businesses who do not have the funds available to hire a CPA.
BACP offers free business education workshops or webinars every Wednesday afternoon and Friday morning. Due to COVID-19, all programs are currently being offered as webinars. Topics include business licensing, operations, financial resources, marketing, and more. Programs are free and open to the public and taught by industry professionals, not-for-profit agencies, and government agencies.
Wednesday, 5/5 Webinar at 3:00 PM City Inspections – Ask Questions, Get Answers Presented by the City of Chicago The Chicago Department of Business Affairs & Consumer Protection, Department of Public Health, and the Department of Buildings will provide insight on how operate a compliant business in the City of Chicago. Topics covered will include how to prepare for inspections, building permits and sign display requirements, food inspection overview and necessary certificates, and zoning review procedures. Learn how to operate safely and avoid common setbacks. Register for the 5/5 Webinar
Friday, 5/7 Webinar at 9:30 AM Business Licensing 101 Presented by the City of Chicago Department of Business Affairs & Consumer Protection (BACP) Attendees will learn the process to obtain a business license and how to access free resources and support for your business. Register for the 5/7 Webinar
Wednesday, 5/12 at 3:00 PM Understanding & Clarifying Your Brand Identity Presented By: Stacey Pitts Caldwell, Center Director, SBDC at the Chicagoland Chamber of Commerce & Owner, SMP Creative™ Business & Design Now, more than ever it is critical that small businesses grasp the core concepts of branding to begin developing a strong brand position. In this webinar, you will gain a better understanding of your existing brand, learn what it takes to create a new brand, or simply refresh your basic knowledge of branding to help you connect and engage with your customers. All businesses, from pre-venture and start-ups to established enterprises are welcome to explore the following topics: Brand Identity, Brand Communications, Personality & Inspiration, and Storytelling. Register for the 5/12 Webinar
Jueves, 5/13 Webinar at 10:00 AM (workshop will be presented in Spanish) Licencamiento Comercial 101 Presentado por la Ciudad de Chicago Departamento de Asuntos Comerciales y Protección del Consumidor(BACP) Centro de Negocios Pequeños(SBC) Los asistentes aprenderán el proceso para obtener una licencia comercial y como acceder a recursos y soporte gratuitos para su negocio. Registrarse para the 5/13 Webinar
Friday, 5/21 Webinar at 9:30 AM Grants, incentives, and FREE assistance for your business Presented by Andrew Fogaty, Executive Director 36Squared Business Incubator Every year the City, State and Federal government spends MILLIONS of dollars to provide grants, incentives and free assistance to Chicago area companies. Was your company one of them? Come to this FREE informative event and learn how your business can access assistance for everything from building improvement and property acquisition to export assistance and government contracting. Register for the 5/21 Webinar
Wednesday, 5/26 Webinar at 3:00 PM Transform Your Dream into a Real Startup Presented by Score Chicago Do you have what it takes to start and run a successful business? If so, do you know what the start-up journey is like? Or what initial steps you need to take? This webinar will help you assess your prospects, give you the initial direction you need, and inspire you to move forward to realize your dream. The webinar will also cover pricing, promotion, competition and marketing to give you a competitive edge. Register for the 5/26 Webinar
It’s almost here! The SBA Restaurant Relief Fund will begin accepting applications on Monday, May 3 at 11 am Central Time. Are you ready? What should you be doing to prepare?
To our surprise, the SBA announced last week that all eligible restaurants should apply the moment the portal opens on Day One, regardless of whether they are in the priority groups or not. Those not eligible for review in the first 21 days will be time-stamped and reviewed first-come-first-served in the following period. Therefore, if you are a restaurant owner of any type, make sure to take these steps between now and Monday morning if you haven’t already. Don’t wait until the portal opens to get started — be prepared in advance!
First, calculate your potential grant amount to make sure you are eligible. Do not include state and local Covid-19 grants, or PPP funding, in “gross receipts”. For my clients, I recommend you use “gross receipts minus returns and allowances” on Line 1c (Line 3 for Schedule C filers) of your business tax return. The financial relief, by contrast, should either be on the “Other Income” line (state & local grants), or not entered at all (in the case of PPP), as they are considered non-operating income. Ask your tax preparer if you are unsure.
Follow the instructions in this chart to estimate your RRF grant amount. If you were in business prior to 2019, use Calculation #1 — this will be the vast majority of restaurants.
If the amount is less than $1000 (or negative), you are not eligible. Although it’s frustrating that funding will not be available, at least you don’t have to go through the rest of the steps — silver lining!
Presuming your result is $1000 or more, please take the next steps seriously. Funding for this program is not sufficient for the number of applicants. This is your chance to be ahead of the game.
Watch a recent SBA webinar that walks you through the registration and application process.
Register for an SBA RRF Portal account (unless you are applying through your Square/Toast POS). Do not wait until the program opens to register — the system opened up for registration this past Friday at 8 am Central.
Note: you will need a cell phone to get a Two-Factor Authentication code; this is required when setting up an account.
This registration is independent of any other SBA account you might have — the RRF portal is a separate website/login.
Bookmark this site and make sure you have everything you need to easily log in when the program goes live.
If applying through your Square or Toast Point of Sale (POS) system, familiarize yourself with their guidelines. We recommend you only use this option if 1) nearly all of your gross receipts run through the POS; or, 2) your 2020 tax return is not available.
Read the definitions for “priority groups” (women-owned, veteran-owned, socially-or-economically-disadvantaged individual-owned) — especially for those with more than one owner — to determine if you can self-certify or not.
You will need to know things like your business entity type, tax ID #, PPP Draw 1 & 2 loan numbers, bank ACH info, owner percentages and tax ID #s, and your very first day of sales.
As mentioned above, if you were in business prior to 2019, you should use Table 1 and ignore Tables 2 and 3.
Use this filled-out application as your cheat-sheet when filling out the online application when the system goes live.
Make sure you have all your supporting documentation saved to a single, easily-accessible folder on your computer, and that you have clearly named each file. Acceptable file formats are: PDF, JPG, GIF, TIFF or PNG.
Preferred proof of gross receipts decline will be your 2019 and 2020 tax returns (unless you are applying through Square/Toast). Your 2019 tax return and your 2019 & 2020 POS reports are also acceptable, though they may not include all your gross receipts, so we recommend using tax returns if you have them.
In addition, you may need the most recent three months of bank statements for the account that will be receiving the grant money, if the “auto-connect your bank” option does not work for some reason.
Clarity, precision, and organization is what’s important — not volume. Remember that a real human being will review the application at some point. Feel free to include a cover page that explains how you have organized things and what is where, the naming structure, etc.
If you have everything ready-to-go, it should only take 20-25 minutes to complete the application online when the system goes live.
Tips and notes:
Use the most modern browser possible — the current version of Chrome, Edge or Safari.
There are hover-tips practically everywhere on the portal that are really helpful, as well as an excellent searchable “KnowledgeBase” in the lower-right-hand corner of the website.
The SBA recommends you use the “auto-connect your bank” option instead of manually entering your ACH info — it will move through the process much faster and you will not need to upload three months of bank statements. You will be asked to select which of the bank accounts (if you have more than one) to link.
When signing, make sure your Title fits the entity type. (e.g., “Owner” rather than “CEO” for a sole proprietor).
Digital signature via Docusign at the end — if it doesn’t work, make sure your antivirus is disabled or try another browser.
There’s going to be personally-identifying info (PII) during registration and/or signing to make sure you are the person you say you are, so make sure to fill this return out yourself, rather than have your CPA or anyone else do it. Feel free to have them help you prepare the application that you will use for reference ahead-of-time instead if you need assistance.
You will get a confirmation ID. Please take a screenshot of this page.
If you realize afterwards that you made a mistake, call the call center and they will delete your application and you will have to start over.
The SBA will send a message through the portal’s message center if there are follow-up questions. You will receive an email each time there is a message; you do not need to log back in until you get a status notification, but it might be a safe thing to do in case something gets stuck in spam.
You can reach the SBA RRF call-center at 1-844-279-8898 for any issues or questions.
And finally… a few words to set expectations: I have every confidence that the SBA RRF portal servers will go down at some point. Instead of asking non-priority applicants to wait three weeks, they are asking literally every eligible restaurant in the country to apply at the same moment. The SVOG site went down on the first day and it took weeks for them to re-open it — and there are far more restaurants out there than performance venues. Obviously the SBA learned from that experience, so I am hopeful they are addressing these concerns… but it seems a staggered, time-stamped approach would have been safer. All that said, just do what the SBA recommends and apply in the first few minutes, but do not be surprised if you have to click “refresh” all day long. Maybe don’t make any other plans for the day just in case. For up-to-the-minute info, check twitter — either search for RRF or #RRF — this was an amazing community for the SVOG folks to come together for information and support when their issue occurred.
Good luck, everyone!
If this or any other posts on the website were useful to you, and your financial situation permits it, please consider contributing to my tip jar. Ths allows me to continue to provide free accounting resources to small businesses who do not have the funds available to hire a CPA.
