Even if you’ve already gotten your 2020 taxes filed, now is no time to rest when it comes to financial planning. Lots of federal program changes are coming this quarter that could impact your individual or business.

Here’s a list of the top Q3 news that could affect you. Check with your tax preparer, financial planner, or consultant for next steps if any of this news could affect your 2020 and 2021 bottom line.

Child Tax Credit Payments

As part of the American Rescue Plan Act from March, the IRS will be sending monthly Child Tax Credit payments starting July 15 to more than 36 million taxpayers. The expanded credit of up to $3,600 for each child is a 2021 tax year change, structured as advance monthly payments of $300 monthly for each qualifying child under the age of 6, or $250 per month for those ages 6 to 17, through the end of the year. Payments will be determined and deposited based on 2019 and 2020 tax returns, so update your information at IRS.gov and watch for more helpful tools and updates on the site, as well.

Capital Gains Tax Increases

Proposed changes to capital gains taxes under the Biden administration may not take effect until 2022, but there’s talk about them being applied retroactively. Keep an eye on this if you’re in the middle of a transaction and speak with your tax professional about how you can protect yourself and plan for a bill that may come due on that transaction next year.

PPP Loan Program Updates

The Small Business Administration is, once again, exploring ways to speed up the forgiveness process for Paycheck Protection Program loans from $150,000 to $2 million. Check back frequently on the SBA’s PPP forgiveness page for updates. If you’re among the many small businesses that were denied a PPP loan, here’s a good run-down of other options to explore to shore up your small business finances.

Keep Up With All the Latest Changes

Right now, we’re all concerned with taking care of estimated quarterly tax payments and making sure our clients are compliant with the terms of all stimulus program funding they received. If you’re unsure about how to navigate these complicated and constantly changing programs, contact us to learn how the B2 team can prepare you and your business for what lies ahead. As Benjamin Franklin said, “Failing to plan is planning to fail.” Protect your assets and know your liabilities with a solid financial plan that keeps your money working for you.