Immediate Assistance for Businesses Impacted by COVID-19 Including Temporary Tax Relief and $500 Million in Grants Announced by State of California
On November 30, Governor Newsom announced a program providing immediate assistance for businesses impacted by COVID-19.
The program provides tax relief for businesses impacted by COVID-19 though the following actions:
The program also announced $500 million for new COVID relief grant for small businesses administered by the California Office of the Small Business Advocate for small businesses that have been impacted by COVID and the health and safety restrictions. Funds would be awarded to selected intermediaries with established networks of Community Development Financial Institutions to distribute relief through grants of up to $25,000 to underserved micro and small businesses throughout the state by early 2021. Non-profits would also be eligible for these grants. CalOSBA is establishing the program and will make it available as soon as possible -- for updates on availability, sign up HERE.
The California Rebuilding Fund, announced last week, made available $25 million to help impacted small businesses rebuild from the economic crisis and keep local economies strong. This program is built to be a resource in the market for the next year as businesses pivot and recover. This program will increase funding for the California Rebuilding Fund by $12.5 million. The additional funding will help the 3rd party administrator of the fund raise $125 million to make more low-interest loans to small businesses with less access to loans from traditional banking institutions. Sign up for updates on the California Rebuilding Fund programs HERE.
To read the full press release from the office of the Governor, click here.
To view updates for businesses and employers from the State, click here.