Federal and State Agency Updates Regarding Coronavirus

Updated March 27, 2020

FEDERAL UPDATES | CALIFORNIA UPDATES | LICENSURE UPDATES | LEGISLATIVE UPDATES

IRS:

SEC Coronavirus (COVID-19) Response: Updates and related effects on the securities market include providing targeted regulatory relief and guidance for to issuers, exchanges and other registrants impacted by COVID-19.
Families First Act Guidance (U.S. Dept. of Labor)  

SBA: The U.S. Small Business Administration opened up federal disaster loans for businesses, private nonprofits, homeowners and renters in response to California's declaration of emergency. Small businesses can apply now through Dec. 16, 2020, for assistance.

U.S. Office of Management and Budget (OMB) Memo on Single Audits: The AICPA Governmental Audit Quality Center issued an alert on guidance from the OMB and the Department of Education related to single audits of entities that receive Federal financial assistance to address COVID-19.
DHS Announces Flexibility in Requirements Related to Form I-9 Compliance (Dept. of Homeland Security)

Congressional Response: 

CALIFORNIA UPDATES

CPA Services Designated as Essential

Governor Issues Stay-at-Home Executive Order

FTB: As of March 18: State Postpones Tax Deadlines Until July 15 Due to the COVID-19 Pandemic—FTB is postponing until July 15 the filing and payment deadlines for all individuals and business entities for:

  • 2019 tax returns;
  • 2019 tax return payments;
  • 2020 1st and 2nd quarter estimate payments;
  • 2020 LLC taxes and fees; and
  • 2020 Non-wage withholding payments.

To give taxpayers a deadline consistent with that of the IRS without the federal dollar limitations, FTB is following the federal relief described in Notice 2020-17. Since California conforms to the underlying code sections that grant tax postponements for emergencies, FTB is extending the relief to all California taxpayers. Taxpayers do not need to claim any special treatment or call FTB to qualify for this relief.

EDD: Employers statewide directly affected by COVID-19 may request up to a 60-day extension of time from the EDD to file their state payroll reports and/or deposit payroll taxes without penalty or interest. This extension may be granted under Section 1111.5 of the California Unemployment Insurance Code (CUIC). A written request for extension must be received within 60 days from the original delinquent date of the payment or return. Read more.

California Department of Labor Coronavirus (COVID-19) Response

BOE: As directed in Section 6 of Executive Order N-25-20, is developing guidance and will be releasing it soon.

CDTFA: During the 60 day window specified in the governor’s Executive Order N-25-20, the CDTFA has been able to make it easier for taxpayers to request relief. They can go through the normal online process, send a letter or contact the CDTFA call center at 1-800-400-7115.

LICENSURE UPDATES

CBA: Due to recommendations and guidance from local and state health officials to help prevent the spread of the Coronavirus (COVID-19), the CBA office is closed to the public as of March 27 until further notice. During this time, users may experience some delays in reaching CBA staff. More info.

The COVID-19 pandemic may impact the ability of applicants and licensees to meet examination-related or license renewal-related requirements, including canceled exams, incomplete CPE, peer review delays and other requirements. To mitigate these impacts as much as possible, CalCPA has been in communication with the CBA on guidance. 

The CBA has shared that they will be making every effort to accommodate requests from applicants and licensees as it relates to extensions for examination-related matters or license renewal-related requirements. Additionally, the CBA has indicated that it will be as flexible and accommodating as possible on requests.

CalCPA is also urging patience when working with the CBA. While it will make every effort to maintain normal operations, interruptions and delays to internal processes and work flows may be unavoidable.

If you need to request an accommodation, please send an email to:

Uniform CPA Exam Testing: AICPA, NASBA and Prometric announced the closing of testing centers in the U.S. and Canada for 30 days and anticipates re-opening test centers April 16, depending on circumstances that are changing daily. No action is required on the part of the candidate.

NASBA, AICPA and Prometric Invoke Emergency Testing Period (NASBA)

LEGISLATIVE UPDATES

California Legislation

The California Legislature has recessed until April 13 and the state Capitol and legislative office building has been closed to the public. Prior to the closure, the Legislature had fast tracked legislation to provide emergency resources for COVID-19 mitigation efforts.

  • AB/SB 89: These bills provide $500 million funding for disaster response for the COVID 19 pandemic. The focus of this funding is to provide resources needed for the immediate response and mitigation of this public health crisis. The bill also authorized the Governor to access an additional $500 million as needed. In particular, the bill notes that small business, nonprofits and individuals will experience economic hardship as a result of COVID 19 and that the final 2020 budget will need to account for helping these important parts of the fabric of California’s society rebuild.
  • AB/SB 117: These bills provides statutory changes and appropriations to execute the Governor’s education executive order to ensure school funding is protected and that they have the resources to respond to COVID-19 mitigation efforts.  

California Legislature (worker relief)
  • AB 3123 (Gonzalez): This bill would allow an employee to use their earned sick leave if their place of business is closed by order of a public official due to a public health emergency, or if the employee is providing care or assistance to their child, whose school or childcare provider is closed by order of a public official due to a public health emergency. If an employee is complying with an isolation or quarantine order issued by a public official due to a public health emergency, this bill states that an employer may not discharge or in any manner discriminate or retaliate against that employee. 
  • AB 3216 (Kalra): This bill would make it an unlawful employment practice for an employer to refuse to grant a request by an eligible employee to take family and medical leave due to the coronavirus (COVID-19), as specified. The bill would require a request under this provision to be made and granted in a similar manner to that provided under the California Family Rights Act (CFRA). The bill would specify that an employer is not required to pay an employee for the leave taken, but would authorize an employee taking a leave to elect, or an employer to require, a substitution of the employee’s accrued vacation or other time off during this period and any other paid or unpaid time off negotiated with the employer.

For continued updates and resources relating to COVID-19, please visit our coronavirus resource page.