COVID-19 News & Updates

S.3548 cares act

In response to the COVID-19 pandemic and in order to provide relief for employers and unemployed workers, Congress passed HR 748 – the Coronavirus Aid, Relief, and Economic Safety Act (CARES Act).

CASH STIMULUS PAYMENTS AND UNEMPLOYED WORKER BENEFITS

Direct Stimulus Checkshttps://www.irs.gov/coronavirus/get-my-payment

Unemployment Benefits: https://govstatus.egov.com/ORUnemployment_COVID19

ASSISTANCE FOR SMALL BUSINESSES

The CARES Act package provides significant funding and new programs to support small businesses across the country.  The package provides:

$349 billion in forgivable loans through the Paycheck Protection Program with no collateral or personal guarantee required.  https://www.sba.gov/funding-programs/loans/coronavirus-relief-options/paycheck-protection-program

$10 billion for SBA economic injury disaster loans (EIDL) to provide grants of up to $10,000 or loans u to $2 million to qualifying small businesses.  https://www.sba.gov/page/disaster-loan-applications

$17 billion for SBA to cover six months of payments for small businesses with existing SBA backed business loans  This is six months of total relief from payments for existing and new applicants, though collateral is required.  New applicants have six months from the signing of the legislation to apply through SBA’s Lender Match Portal with six months of relief for both principal and interest. https://www.sba.gov/page/coronavirus-covid-19-small-business-guidance-loan-resources#section-header-0

EMPLOYEE RETENTION CREDIT

Businesses that are forced to close or whose income has substantially declined as a result of COVID-19 could receive tax credits for 50% of employee wages up to $10,000 per employee.  This credit is not available for employers who have Paycheck Protection Loans. https://www.irs.gov/newsroom/faqs-employee-retention-credit-under-the-cares-act

PAYROLL TAX PAYMENT DEFERRAL

Employers may choose to defer the 6.2% FICA taxes due through 2021 so they can increase cash flow and continue to pay their employees.  If a business chooses to delay paying payroll taxes to increase cash flow, they will be required to pay 50% of these taxes by December 31, 2021 and the taxes must be paid in full by the December 31, 2022.  Employers who have received Small Business Act loans that will be forgiven are not eligible. https://www.irs.gov/pub/irs-drop/n-20-22.pdf

H.R.6201 Families First Coronavirus Response Act

H.R.6201, or Families First Coronavirus Response Act, became law on March 18, 2020. According to Congress.gov, the bill provides paid sick leave and free coronavirus testing, expands food assistance and unemployment benefits, and requires employers to provide additional protections to health care workers.
https://www.congress.gov/bill/116th-congress/house-bill/6201/text

H.R. 6074 Coronavirus Preparedness and Response Supplemental Appropriations Act, 2020

H.R. 6074, or Coronavirus Preparedness and Response Supplemental Appropriations Act, 2020, became law on March 6, 2020. This bill provides $8.3 billion in emergency funding for federal agencies to respond to the coronavirus outbreak.
https://www.congress.gov/bill/116th-congress/house-bill/6074/text

 

Additional Resources for Coronavirus Updates: 

Internal Revenue Service: https://www.irs.gov/coronavirus

U.S. Small Business Administration: https://www.sba.gov/

CDC Guidance for Businesses and Employers: https://www.cdc.gov/coronavirus/2019-ncov/community/organizations/businesses-employers.html

U.S. Department of Labor Coronavirus Resources: https://www.dol.gov/coronavirus

Oregon Health Authority COVID-19 Updates: https://govstatus.egov.com/OR-OHA-COVID-19

COVID-19 Related Business Layoffs, Closures, and Unemployment Insurance Benefits: https://www.oregon.gov/employ/Pages/COVID-19.aspx

Oregon Coronavirus Information & Resources: https://govstatus.egov.com/or-covid-19

Oregon Department of Revenue: https://www.oregon.gov/dor/Pages/COVID19.aspx

Federal Reserve: https://www.federalreserve.gov/covid-19.htm

Department of Education: https://www.ed.gov/news/press-releases

 

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