CARES ACT Information for Small Businesses and Individuals

Courtesy of the Boise Metro Chamber of Commerce

​Small Business Administration (SBA) Payroll Protection – Program in the CARES Act

SBA Express Loan

• Eligibility: Eligibility: any business concern, non-profit organization (501(c)3), veterans organization (501(c)19) or tribal businesses that employs less than 500 employees or meets size standard. Sole proprietors, independent contractors, and eligible self-employed individuals. Non-profits receiving Medicaid expenses are ineligible.
• Cap: $1 million
• Turnaround Time: 36 hours
• Loan Forgiveness: Any payment made for payroll (including paid sick, medical or family leave and group health benefits), rent, mortgage interest, utilities between February 15, 2020 and June 30, 2020 can be forgiven. Amount of loan forgiveness can be reduced by any change in staffing or payroll expenses. Amounts forgiven shall be excluded from taxable income.
• Interest: 4% max
• Deferment of Payment: Up to six months
• Covered Loan Period: February 15, 2020 – June 30, 2020
  
  

NOTE: No business may take more than one resource or it may be considered a, “duplication of benefit.” Businesses may not be forgiven for amounts paid for leave if they are eligible for a tax credit to off-set the cost. ​

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SBA 7(a) Loan

• Eligibility: Any business concern, non-profit organization (501(c)3), veterans organization (501(c)19) or tribal business which employs less than 500 employees or meets size standard. Sole proprietors, independent contractors, and eligible self-employed individuals. Non-profits receiving Medicaid expenses are ineligible.
• Cap:  250% of an employer’s average monthly payroll (wages, tips, FML, health benefits, retirement, state and local taxes), capped at $10 million.
• Turnaround Time: 2 weeks
• Loan Forgiveness: Any payment made for payroll (including paid sick, medical or family leave and group health benefits), rent, mortgage interest, utilities between February 15, 2020 and June 30, 2020 can be forgiven. The amount of forgiveness can be reduced by any change in staffing or payroll expenses. Amounts forgiven shall be excluded from taxable income.
• Interest: 4% max
• Deferment of Payment: Up to six months
• Covered Loan Period: February 15, 2020 – June 30, 2020

NOTE: No business may take more than one resource or it may be considered a, “duplication of benefit.” Businesses may not be forgiven for amounts paid for leave if they are eligible for a tax credit to off-set the cost. ​

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SBA Economic Injury Disaster Loan (EIDL)

NOTE: These loans were already made available through passage of the Families First Act on March 18 and the application is available for Idaho businesses and nonprofits now. Apply here for an EIDL

• Eligibility: Any business concern, non-profit organization (501(c)3), veterans organization (501(c)19), or tribal business that employs less than 500 employees or meets size standard; sole proprietors, independent contractors, and eligible self-employed individuals; non-profits receiving Medicaid expenses are ineligible.
• Cap: $2 million
• Turnaround time: 3-6 months, however, advance cash grants of $10,000 are available within 3 days if requested.
• Deferment: Up to six months
• Forgiveness: $10,000 of any cash advance if used to maintain payroll and monthly expenses.
• Interest: 3.75% for small businesses; 2.75% for non-profits.

NOTE: No business may take more than one resource or it may be considered a, “duplication of benefit.” Businesses may not be forgiven for amounts paid for leave if they are eligible for a tax credit to off-set the cost ​

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Other Resources

Idaho Small Business Development Center (SBDC)
The Idaho SBDC business advisors are available to provide information and technical assistance on SBA Economic Injury Disaster Loans and to help you navigate the economic impacts caused by COVID-19. Find more information here.
 
Idaho Women’s Business Center (WBC)
The Idaho WBC is available to provide information and technical assistance on SBA Economic Injury Disaster Loans and to help you navigate the economic impacts caused by COVID-19. Find more information here.
 
Small Business Administration Idaho Offices
There are several SBA offices in Idaho which offer many small business loan and assistance programs and are currently helping small businesses understand how to access and apply for the capital they need. To find the SBA office near you, click here.  ​

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Direct Financial Help for American Taxpayers

The CARES Act provides rebates to most U.S. taxpayers, putting cash in the hands of individuals and families to help ease the economic impact of COVID-19.

Eligibility:

• Any individual who meets the following criteria is eligible for a full $1,200 rebate: 
• Reported no more than $75,000 annual adjusted gross income on last federal tax return.
• Cannot be claimed as a dependent by another taxpayer.
• Has a work-eligible social security number.

Individuals filing jointly who meet the following criteria are eligible for a full $2,400 rebate: 

• Reported up to $150,000 joint annual adjusted gross income on last federal tax return.
• Cannot be claimed as dependents by another taxpayer.
• Have work-eligible social security numbers.

In addition, individuals filing a single tax return and those filing jointly are eligible for an additional $500 rebate for each child claimed on their last federal tax return. This is also true for those who have no income, as well as those whose income comes entirely from non-taxable, means-tested benefit programs such as SSI benefits.

Cap: The rebate amount will be reduced $5 for every $100 of taxpayer annual income that exceeds the phase-out threshold - which is $75,000 for individuals and $150,000 for those filing a joint tax return.   

• Individuals making between $75,000 and $99,000 per year will receive a $1,200 rebate, minus $5 for every $100 they make over $75,000 up to $99,000.
• Individuals filing jointly who make between $150,000 and $198,000 per year will receive a $2,400 rebate, minus $5 for every $100 they make over $150,000 up to $198,000.
• Individuals making more than $99,000 per year and joint filers who make more than $198,000 per year do not qualify for a rebate.

Turnaround Time: The IRS will send rebate checks to eligible taxpayers via direct deposit or paper check within the next month or two.  

Application: No action by the vast majority of Americans is necessary to receive a rebate. The IRS will use a taxpayer’s 2019 tax return if it has been filed; if not, their 2018 tax return will be used. Low-income individuals who file tax returns in order to take advantage of the refundable Earned Income Tax Credit and Child Tax Credit are included. For more information, visit the IRS website.