Reportability of CARES Act funds

January 19, 2021


Q.¬†From what I've read, on July 13th 2020, CARES Act funds were deemed taxable income and do not qualify as disaster relief payments under Section 139. If the above holds true, then what is the IRS's guidance for payments made using CARES Act funds for authorized expenses as they relate to entities ... do we follow the generic rule that Corporations do not receive a 1099, but Sole Proprietors, Unincorporated Partnerships/LLP's do receive a 1099? Or do ALL entities receive a 1099 regardless of…

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