The Biden-Harris Administration announced today that the U.S. Department of Health and Human Services (HHS), through the Health Resources and Services Administration (HRSA), is making $25.5 billion in new funding available for health care providers affected by the COVID-19 pandemic. This funding includes $8.5 billion in American Rescue Plan (ARP) resources for providers who serve rural Medicaid, Children’s Health Insurance Program (CHIP), or Medicare patients, and an additional $17 billion for Provider Relief Fund (PRF) Phase 4 for a broad range of providers who can document revenue loss and expenses associated with the pandemic.

Two new programs aimed at helping Delaware County residents affected by the pandemic have been given the go-ahead by county officials.

Delaware County Council unanimously approved two DELCO Summer 2021 programs spearheaded by the Delaware County Office of Workforce Development and the Commerce Center that will provide $350,000 in new economic funding for Delaware County small businesses and unemployed residents.

The Internal Revenue Service has launched two new online portals designed for parents to check their eligibility status for payments totaling $3,600 or $3,000, depending on the child’s age. Most families will not need to log in to a portal to receive the payments if they already received stimulus checks but may still want to verify how much they’re getting.

The Department of Revenue previously issued temporary guidance relating to telework and associated tax implications during the COVID-19 pandemic: Telework During the COVID-19 Pandemic. This prior guidance expires on June 30, 2021.

The Department of Revenue has issued updated guidance on telework, effective July 1, 2021. Additional details are included below.

The IRS is notifying parents of important changes to the Child Tax Credit that will help families get advance payments this summer.

The IRS will pay half the total credit amount in advance monthly payments beginning July 15.

Parents can claim the other half when filing their 2021 income tax returns. These changes apply to the 2021 tax year only, according to the IRS.

With a new executive team in the White House, the Biden administration has proposed changes to the federal estate tax rate and exemption. Significant changes to estate tax laws are part of proposed legislation for individuals and families. These changes, combined with the current low-interest-rate environment, create an urgent opportunity to plan now for issues such as a reduction in the lifetime estate and gift tax exemption.

On May 28, 2021, President Biden’s administration unveiled its proposed budget for fiscal year 2022. The administration’s budget recommendations are, of course, only recommendations. Congress can accept, reject or modify them as part of the legislative process, as well as add other proposals. It can also choose to offset all or only a part of any spending programs it approves. As a result, we want you to be aware of the following tax proposals from the President’s budget. More information will be released as we gain clarity on these items.

If you received unemployment benefits in 2020 due to the pandemic and paid taxes on those funds, you may qualify for a refund from the IRS. The agency began sending out refund checks earlier in May and will continue through the summer months.

Unemployment Compensation Fraud is a very serious matter. The Pennsylvania Department of Labor & Industry (L&I) is committed to preventing, identifying, and blocking scams and is continuing its aggressive efforts to do so, including:

• Cross-matching data with other state agencies and across the country to detect fraud activity.
• Working with the U.S. Department of Labor to prevent and detect fraudulent activities related to UC.