The Main Street Tax Certainty Act, which was signed into law in December 2020, is a game-changer for small businesses across the United States. This legislation provides much-needed tax relief and certainty for Main Street businesses, helping them weather the economic challenges brought on by the COVID-19 pandemic.

One of the key provisions of the Main Street Tax Certainty Act is the extension of the tax filing deadline for pass-through entities, such as S corporations and partnerships, from March 15th to the same deadline as individual tax returns (April 15th). This change simplifies the tax filing process for small businesses, allowing them more time to gather the necessary documents and meet their tax obligations.

Additionally, the Main Street Tax Certainty Act provides a safe harbor provision for businesses that receive Paycheck Protection Program (PPP) loans. This provision ensures that businesses will not be taxed on the forgiven portion of their PPP loans, providing much-needed relief for small businesses that have struggled to stay afloat during the pandemic.

Furthermore, the Main Street Tax Certainty Act includes provisions to simplify the tax code for small businesses, reduce compliance burdens, and encourage economic growth. For example, the legislation allows businesses to deduct up to $5,000 in start-up expenses in their first year of operation, providing a financial incentive for entrepreneurs to launch new ventures.

Overall, the Main Street Tax Certainty Act is a win for small businesses, providing them with the tax relief and certainty they need to survive and thrive in today’s challenging economic environment. By simplifying the tax filing process, providing safe harbor for PPP loan forgiveness, and promoting economic growth, this legislation is helping Main Street businesses across the country to recover and rebuild in the wake of the pandemic.