Here’s a quick summary of the new stimulus package.
The new stimulus bill signed by the president Sunday night contains these items according to Forbes. To read the full Forbes article, please click here.
Stimulus Checks: The new stimulus package will provide a one-time stimulus check of $600 for each eligible individual based on the same income limitations for the first stimulus check, which is a 2019 income less than $75,000 for each individual and $150,000 for each married or joint filer. Eligible dependents 16 and younger can qualify for $600 stimulus checks, while married and joint filers can get $1,200.
Unemployment Insurance: The new stimulus package includes $300 a week for enhanced unemployment insurance.
Rental Assistance: The stimulus package includes $25 billion of rental assistance to protect vulnerable Americans who are at risk of losing their home. There is also a one-month extension of the federal eviction moratorium.
Additional Benefits: The stimulus package also includes funding for the Paycheck Protection Program ($284 billion), education ($82 billion), child care ($10 billion), clean energy and fossil fuels, and vaccine distribution, among other benefits.
What’s Missing: Student loan relief was dropped from the stimulus package. There is also no Covid-19 liability protection for businesses or any state or local aid.
Our research here in the William Bruce office confirms that the act reauthorizes loans under the expired Payroll Protection Plan to certain businesses that have already received a PPP loan.
The act offers a second loan to businesses that meet certain eligibility requirements. Specifically, companies applying for a second loan must show that they employ no more than 300 employees. Additionally, businesses are eligible only if they have used or will use the full amount of their initial loan and have lost at least 25 percent of their revenue in any quarter of 2020.
Business owners interested in applying for a first or second PPP loan should promptly contact their professional advisors.
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