Relief on Substantial Presence and Treaty Day-Count Tests.

On May 30th, the IRS issued Revenue Procedure 2020-20 which provides non-U.S. individuals present in the U.S. some limited relief from the day-count tests for U.S. tax residency and for eligibility for certain treaty benefits.  The relief comes in the form of the “COVID-19 Medical Condition Travel Exception”.  The name of the exception is a misnomer because individuals need not have had any medical condition (including the COVID-19 virus) to claim its benefits.
Continue Reading IRS Provides Some Relief to Offset COVID-19 Related Travel Restrictions

The U.S. Congress has passed a series of laws for easing the economic suffering due to COVID-19, including the Coronavirus Aid, Relief, and Economic Security Act, or CARES Act.  The CARES Act and other relief bills have appropriated about $3 trillion for assistance to companies.  As companies receive these funds, attention is now turning to the oversight and enforcement that is already beginning and will vastly increase over the coming months.
Continue Reading U.S. Government Assistance in Response to COVID-19: Investigations Are Coming

The US Federal Reserve has confirmed in its Main Street Loans frequently-asked-questions-faqs about the Main Street lending program (the “FAQ”) that US subsidiaries of foreign companies can be eligible borrowers under the various loans available under the program so long as they otherwise meet the other conditions to eligibility for the loans.
Continue Reading Main Street Loan Program – US Subsidiaries of Foreign Companies Can Apply

New York Partner Valérie Demont and Associate Karl Buhler authored an article about the CARES Act and its benefits and pitfalls for French companies doing business in the United States, which was published in the French leading legal review “Les Editions Legislatives.”
Continue Reading The U.S. economic recovery plan: benefits, limits and risks for French companies in the United States

The Small Business Administration (“SBA”) in its implementation of the CARES Act just released an updated loan application form for borrowers who want to avail themselves of Title I – Paycheck Protection Program (“PPP”) loans. This form may be found here.
Continue Reading Paycheck Protection Program Loan Applications are Opening Today – Eligibility for Small US Businesses Owned by Foreign Companies

On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security (CARES) Act was enacted, an economic relief package in response to the COVID-19 pandemic. The CARES Act provides economic support at the federal level to the business sector, employees, individuals and families, and specific industries that have been impacted, including air transportation, healthcare, and education.

Summarized below are key aspects of the Paycheck Protection Program, a $349 billion SBA-administered loan and loan forgiveness program described in Division A, Title I – Keeping American Workers Paid and Employed Act of the CARES Act.
Continue Reading Overview Of The Paycheck Protection Program Under The Cares Act (Title I)

On March 27, 2020, President Trump signed into law the Coronavirus Aid, Relief, and Economic Security Act, or the “CARES Act” to provide nearly 2 trillion dollars in aid and relief to individuals, businesses, and other entities in the wake of the spread of COVID-19.  Included in the CARES Act are tax and loan provisions intended to provide financial relief to people and businesses suffering as a result of the disease.

The following summarizes certain key tax-related provisions in the CARES Act.
Continue Reading The CARES ACT – Tax Relief

The unique EU State aid control law requires, in principle, prior notification by Member States and approval by the Commission of all State aid. During a time of crisis, like the COVID-19 pandemic, EU law allows for a flexible approach for approving urgent State aid. In this post, we discuss the current state of play in the EU and offer some general items to consider for undertakings receiving State aid during this extraordinary time.

 Coronavirus, employers
Continue Reading COVID-19 Outbreak and Adjusted EU State Aid Control

As part of the federal government’s efforts to soften the economic effects from the Covid-19 pandemic, on Wednesday the IRS issued Notice 2020-17 announcing that federal income tax payments for the 2019 tax year otherwise due on April 15th may be postponed until July  15th 2020 without incurring interest or penalties on the amount due.  In addition, the Notice also postponed to July 15th the due date for quarterly estimated federal income tax payments otherwise due on April 15th.  Earlier statements by government officials had not indicated that the due date for quarterly estimated tax payments would also be extended.
Continue Reading Updated: Treasury and IRS Extend Time to both File and Pay Federal Income Taxes to July 15th; States Taking Their Own Approaches on Income and Similar Taxes