OSCPA staff report
The Ohio Society of CPAs this week supported a bill that prevents a cash-flow issue for businesses that take advantage of pro-taxpayer provisions in the federal CARES Act.
Society Tax Policy Director Greg Saul, Esq., CAE, testified May 25 before the House Ways & Means Committee on House Bill 86.
“In essence, a provision in current law triggers a cash-flow issue for Ohio businesses,” Saul said, “so the legislation would instead allow businesses to continue to compute their Ohio tax liability based upon previous methodology – taking the depreciation sooner rather than later and retaining much needed dollars in Ohio’s economy.”
Saul said the State of Ohio would still receive the same amount of money, but over a longer time period.
Saul said that because the bill applies to tax years 2020 and 2021, "time is of the essence," because 2020 taxpayers who have filed for an extension have only until Oct. 15 to complete their taxes unless they file amended returns.