Get updates on the government assistance programs and available aid for small business owners.
Find the latest on available funding. Read below.
Finally, some good news for small business owners. You’ve been hit especially hard during the pandemic, but aid is still available to help keep you afloat. The new American Rescue Plan (ARP) Act included $48 billion in new small business support. This much-needed lifeline includes:
Need help understanding how the new relief bill might benefit you? Our Block Advisors small business certified tax pros can help you make sense of it all.
Please note: The Paycheck Protection Program application period has ended. For details on the loan eligibility and tax impacts, review our Paycheck Protection Program article.
New Economic Injury Disaster Loan program measures for those hardest hit
The Economic Injury Disaster Loan Program (EIDL) was intended to get money quickly to small business owners to alleviate cash flow issues caused by the pandemic. The ARP Act will ensure money is quickly distributed to the hardest-hit by:
How you can secure new funding
This new round of funding also has set-asides for community lenders to assist hard-to-reach communities and unbanked or underbanked small businesses. If you’re interested in applying for an EIDL loan, you can submit your application with the SBA. For additional qualification details, visit sba.gov.
How will all this impact your 2020 taxes?
We know this information is complicated, but you don’t have to go it alone. Block Advisors small business certified tax pros are here to help.
Our small business tax professional certification is awarded by Block Advisors, a part of H&R Block, based upon successful completion of proprietary training. Our Block Advisors small business services are available at participating Block Advisors and H&R Block offices nationwide.
PPP loan applications can be submitted with banks and approved financial lenders. Other SBA loan applications can be submitted directly to the SBA. Check out SBA.gov for more information. Even if you applied before and were denied, this new bill includes new funding so try again.
Yes, receiving aid may impact your 2020 tax filing. For example, money received from your forgivable PPP loan will not be included in your gross income at the federal level, but you’ll want to check with your state to determine if the forgiven loan is taxable on your state return. In addition, recent legislation provides for the ability to deduct business expenses paid with forgiven PPP loans and other COVID-related loans and grants.
To fully understand your eligibility for tax credits and deductions, we recommend speaking with one of our Block Advisor Small Business Certified Tax Pros to help you make sense of it all.