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Friends,
No matter if you're a working parent, a family farmer, or someone who's been facing hard times over this past year - there are valuable relief programs available to help you.
As your representative, I've been working on new legislation with my colleagues – Democrat and Republican alike – and holding our government agencies accountable for the Iowans they are meant to be serving.
Here are just a few updates on some important items:
New Guidance from the IRS on Unemployment Tax Relief
Watch my update on unemployment tax relief here.
If you haven't already heard, earlier this month I successfully fought to secure federal tax relief for Americans who lost their jobs in 2020 and claimed unemployment benefits provided through the CARES Act.
The American Rescue Plan, which was signed into law a few weeks ago, included my bill to allow Iowans to write off federal taxes on the first $10,200 in unemployment benefits they received, as long as they made less than $150,000 last year.
Since this provision was added to the tax code well into the 2020 filing season, I quickly urged the IRS to look at providing refunds for Iowans who may have already filed their taxes – which the IRS said last week they believe they could do.
So, if you have already filed your taxes on your unemployment benefits, do not file an amended return. The IRS Commissioner said they are planning do this automatically.
If you haven't filed your taxes yet, the IRS has issued guidance on how to calculate the relief you qualify for. Find that guidance here.
And to allow all Americans more time to navigate this complicated tax season, the IRS announced that the new filing deadline for federal taxes is now May 17th!
Learn more by clicking here.
Helping Working Families Keep up with Child Care Costs
I know how nerve-racking it can be as a new parent to have to budget for the rising costs of care every year. And as we work to rebuild and strengthen our economy, I firmly believe access to child care will make the difference in keeping Iowa on a pathway to full recovery.
But when the cost of care is higher than the average rent, families need help keeping up with skyrocketing costs. That's why I teamed with Iowa Senator Joni Ernst to introduce bipartisan legislation that will help expand Iowa families’ ability to pay for child care expenses.
Our legislation, the Improving Child Care for Working Families Act, would permanently increase the limit on how much families can place in tax-free savings accounts in order to cover the current costs of child care.
The contribution limit was recently raised to $10,500 as part of the American Rescue Plan, but this change only applies for 2021. Our bill would allow families to keep up with the rising cost of child care beyond just this year, and enable our economy to get back on track.
Read more by clicking here.
COVID-19 Relief for Farmers is Reopening Soon with More Aid on the Way!
Iowa's farmers, producers, and agricultural communities have been heavily impacted by the COVID-19 crisis and its economic fallout – especially those whose markets include restaurants, schools, live events, and biofuels producers.
Last year, USDA created the Coronavirus Food Assistance Program (CFAP) with support from congressional appropriations included in the CARES Act and other COVID-19 relief legislation.
Through two rounds of CFAP payments, Iowa's producers have seen billions of dollars in support to help them through difficult times – and just this week USDA Secretary Tom Vilsack announced that new applications for CFAP 2 support would be accepted again beginning April 5th and payments for CFAP AA will be issued next month.
Additionally, Secretary Vilsack announced an additional round of support, the Pandemic Assistance for Producers program, to provide $6 billion to expand help to more producers that may have been left out in previous rounds, including biofuels, and provides PPE for farm workers.
Find more information on qualifying for CFAP here.
Earlier this week, I joined Secretary Vilsack and Second Gentleman of the United States Doug Emhoff at the Food Bank of Iowa to highlight the support included in the American Rescue Plan that will help Iowa's hungry families.
Due to the pandemic, the number of Iowans reporting that they were having trouble keeping food on their table went up by 50% – meaning over 450,000 Iowans faced food insecurity in Iowa.
See more from our visit here.
Extending Applications for the Paycheck Protection Program
The Paycheck Protection Program (PPP) has provided billions to Iowa businesses, non-profits, child care providers, and other vital features of Iowa's Main Streets to help them stay afloat during the past year of economic uncertainty.
There are still tens of billions remaining in the program for folks that may still need a helping hand after a tough winter – but right now the application window is scheduled to close at the end of the month.
While our vaccination progress is continuing at a good pace, COVID-19 will not be eradicated by April 1st – and so I cosponsored legislation that is making its way through Congress to extend the PPP application window through May 31st.
That bill passed the House last week, and I expect it to pass the Senate and become law before the deadline next Wednesday
Thanks for reading – stay safe and be well,
Cindy
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