Coronavirus Aid, Relief, and Economic Security (Security Act)

CARES Act:  To alleviate the economic impact of the coronavirus on both individuals and businesses, Congress passed the Coronavirus Aid, Relief and Economic Security (CARES) Act on March 27. The legislation provides economic assistance to small businesses, including:
​
The Paycheck Protection Program
  • The expanded U.S. Small Business Administration (SBA) Economic Injury Disaster Loan program 
  • Updated business tax provisions
Continue to check here to source information for your business.

SBA COVID-19 ECONOMIC INJURY DISASTER LOAN APPLICATION

SBA is collecting the requested information in order to make a loan under SBA’s Economic Injury Disaster Loan Program to the qualified entities listed in this application that are impacted by the Coronavirus (COVID-19). ​The estimated time for completing this entire application is two hours and ten minutes, although you may not need to complete all parts. 

Additional CARES Resources:
​

Useful Webinars on CARES Act:

​

CORONOAVIRUS EMERGENCY LOANS:

PREPARED BY THE U.S. CHAMBER OF COMMERCE
Cornovirus Emergency Loans Small Business Guide and Checklist, Download full version by clicking here.

Additional Information on the Emergency Economic Injury Loan Advance

Question: What is an Emergency Economic Injury Loan Advance?
Answer: An emergency Economic Injury Loan Advance offers up to $10,000 to small businesses and
nonprofits that apply for an SBA Economic Injury Disaster Loan (EIDL), provided within three days of
applying for the loan.

Question: Does the Emergency Economic Injury Loan Advance need to be repaid?
Answer: The EIDL Advance does not need to be repaid, even if the grantee is subsequently denied an
EIDL, and may be used to provide paid sick leave to employees, maintaining payroll, meet increased
production costs due to supply chain disruptions, or pay business obligations, including debts, rent and
mortgage payments. Eligible recipients must have been in operation on January 31, 2020.

SBA Debt Relief:

​Question: What is the SBA Debt Relief Program?
Answer: The SBA Debt Relief program will provide a reprieve to small businesses as they overcome the challenges created by this health crisis by paying the principal and interest of new (issued prior to September 27, 2020) or current 7(a) loans for a period of six months.

SBA Express Bridge Loans:

Question: What are SBA Express Bridge Loans?
Answer: The Express Bridge Loans are a pilot program which allows small businesses who currently have a business relationship with an SBA Express Lender to access up to $25,000 with less paperwork while applying for a direct SBA Economic Injury Disaster loan. If a small business has an urgent need for cash while waiting for decision and disbursement on Economic Injury Disaster Loan, they may qualify for an SBA Express Disaster Bridge Loan.

Question: What is the maximum amount of an Express Bridge Loan?
Answer: Express Bridge Loans can be written for up to $25,000.
Question: How is an SBA Express Bridge Loan repaid?
Answer: Express Bridge Loans will be repaid in full or in part by proceeds from the EIDL loan

TAX PROVISIONS

Employee Retention Credit:

Payroll Tax Defferral:
Question: What can you tell me about the Employee Retention Credit?
Answer: Under the Employee Retention Credit, an eligible employer receives a refundable credit for up to 50 percent of qualified wage for each calendar quarter. The maximum amount of employee wages considered per quarter is $10,000.

Question: Can I take advantage of the Employee Retention Credit and a Small Business Interruption
Loan? 
Answer: No, an employer that receives a small business interruption loan is not eligible for the Employee Retention Credit.

Question: Does this credit expire?
Answer: Yes, the Employee Retention Credit only applies to wages paid after March 12, 2020 and before December 31, 2020.
uestion: Which payroll taxes are deferred?
Answer: An employer’s share of social security taxes is deferred under the act.

Question: How long are these taxes deferred and when are they due?
Answer: Taxes are deferred from the effective date through the remainder of 2020 and are due 50% on December 31, 2021 and 50% on December 31, 2022.

Question: Will there be any penalties for deferred payments?
Answer: No, there will be no interest or penalties associated with these payment dates.

Rebates for Individuals:

Question: Who is eligible to receive a rebate, and how much will individuals receive?
Answer: U.S. residents with adjusted gross income up to $75,000 ($150,000 married) will receive a $1,200 ($2,400 married) rebate, plus an additional $500 per child. The rebate amount is reduced by $5 for each $100 that a taxpayer’s income exceeds the threshold. Taxpayers with incomes exceeding
$99,000 ($198,000 for joint filers) will not receive a rebate.

Question: How will payments be made?
Answer: The IRS will use taxpayers’ 2019 tax returns if filed, or in the alternative their 2018 returns, todetermine eligibility and process payments.