Much of the federal legislation enacted in response to the coronavirus outbreak impacts businesses. Additionally, some states and local governments are doing their part to help keep business afloat. In this section, we'll outline some of the relevant resources available to businesses.
Small Business Administration (SBA) Coronavirus Relief Options
In addition to the Payroll Protection Program, the SBA has established several new temporary programs to address the COVID-19 outbreak.
- U.S. Chamber of Commerce – Small Business Guide and Checklist for Coronavirus Emergency Loans
- SBA - Economic Injury Disaster Loan Emergency Advance - Small business owners in all U.S. states, Washington D.C., and territories were able to apply for an Economic Injury Disaster Loan advance. This advance is designed to provide economic relief to businesses that are currently experiencing a temporary loss of revenue. This loan advance will not have to be repaid. SBA will begin accepting new Economic Injury Disaster Loan (EIDL) and EIDL Advance applications on a limited basis only to provide relief to U.S. agricultural businesses.
- SBA - Express Bridge Loans - Allows small businesses who currently have a business relationship with an SBA Express Lender to access up to $25,000 quickly.
- SBA - Debt Relief -The SBA will pay 6 months of principal, interest, and any associated fees that borrowers owe for all current 7(a), 504, and Microloans in regular servicing status as well as new 7(a), 504, and Microloans disbursed prior to September 27, 2020. This relief is not available for EIDL or PPP loans.
- IRS Notice 2021-53 The Treasury Department and IRS issued guidance to employers about reporting on Form W-2 the amount of qualified sick and family leave wages paid to employees for leave taken in 2021. Employers will be required to report these amounts to employees either on Form W-2, Box 14, or in a separate statement provided with the Form W-2.
- IRS Notice 2021-24 - The IRS released additional guidance which provides penalty relief for an employer's failure to timely deposit Employment Taxes. The guidance applies to employers that(1) are required by recent legislation to pay qualified sick leave wages and family leave wages, as well as qualified health plan expenses allocable to these wages;(2) are subject to a full or partial closure order due to COVID-19 or are experiencing a statutorily specified decline in business under the CARES Act and more recent legislation; or (3) fail to pay certain COBRA continuation coverage premiums for assistance-eligible individuals.
- IRS Notice 2021-07 - COVID-19 Relief for Employers Using the Automobile Lease Valuation Rule
Other Helpful Resources
Tax Warrior Blogs and Alerts
April 22, 2020 - Opportunities to Increase Cash Flow from 2018–2020 Business Losses
April 15, 2020 - Employee Retention Credits - Alternative Relief to Paycheck Protection Loans