- Josie Parr
Stimulus Package Benefits and Small Business Assistance Programs

You’ve probably heard that you may be getting a $1,200 check, or more, from the IRS. Here are some quick facts regarding the payments:
$1,200 Payment
Amount is per recipient; married persons will receive $2,400
Eligible persons include taxpayers and social security recipients
Payment based on 2019 tax return if filed
Alternately based on 2018 return or Social Security records
$500 Additional Qualifying Child Payment
Per dependent child under age 17
No payment if claimed as a dependent on another tax return
Income Phase-Out
Based on adjusted gross income
$75,000 single taxpayers / $150,000 married taxpayers
Payments are reduced by $5 per $100 in income over the thresholds
You may have also heard of several other relief programs available to individuals and small businesses. Here is the list of programs and some key facts including:
Emergency Paid Sick Leave
Up to 10 days of sick pay for those affected by the Corona Virus
Enhanced Unemployment Benefits
Extended coverage for an additional 13 weeks
$600 payment per week in addition to state calculated benefits
Available to self-employed persons and independent contractors
Small Business Assistance Loans Programs
For payroll costs (Payroll Protection Program “PPP”)
Loan amount is the average of 2.5 times the monthly payroll cost, capped at $10 million
Loan forgiveness is available if funds are spent on payroll costs, mortgage/rent on building & utilities
For working capital costs (Economic Injury Disaster Relief Loans “EIDL”)
Emergency $10,000 grant available
Loan forgiveness is not available, loan deferment may be available for up to one year
Loan can be used for operating expenses and other costs
Payroll Tax Programs
Employee Retention Credit – refundable payroll tax credit for 50% of wages paid, up to $10,000 of compensation
Payroll tax deferral for 2020 employer payroll taxes due in two equal installments, one at the end of 2021 and one at the end of 2022
Each program has additional criteria to qualify for the benefits. The regulations are complex and the right programs will vary for each individual and business. If you have questions on the stimulus benefits or the other relief programs please contact me at josie@jparrcpa.com or (717) 577-3632.
I sincerely hope you are doing well and staying healthy.