By: BT Team | 03/12/21
The American Rescue Plan Act of 2021 was signed into law by President Biden on March 11, 2021, coinciding with the one-year anniversary of the COVID-19 pandemic. The legislation is the sixth federal relief package signed into law since the onset of the pandemic in the United States last year and addresses the continuing economic and health impacts of the pandemic. The massive $1.9 trillion relief package includes extensions of enhanced unemployment relief, increased funding for COVID-19 testing and vaccination programs, aid to state and local governments, assistance to schools to help get students back into classrooms, rental assistance, nutrition assistance and much more.
The legislation also includes numerous tax provisions to provide relief to individuals and businesses, many of which are enacted only for the 2021 tax year, as well as several revenue-raising provisions. Below are highlights.
Tax provisions to assist individuals include the following:
Tax provisions to assist businesses include the following:
Please click here for a full summary of significant tax provisions included within the American Rescue Plan Act of 2021.
The following are a few immediate steps to consider, depending on individual circumstances:
We will continue to monitor legislative developments affecting our clients. For further questions regarding how the American Rescue Plan Act will impact your personal or business taxes, please contact your Bennett Thrasher tax advisor by calling 770.396.2200.
The above information is general in nature and should not be relied upon for any specific tax implication or investment decision. Actual results may differ, and readers are cautioned not to place reliance on these general observations. Consult with your adviser or counsel before undertaking any specific action.
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