The Coronavirus Aid, Relief, and Economic Security Act (CARES Act), a roughly $2 trillion coronavirus response bill signed into law yesterday, is intended to provide widespread emergency relief for Americans and the country’s economy. In addition to its benefits for individuals, the bill provides aid for small businesses, large corporations, hospitals and public health agencies, and state and local governments. Among its provisions for small businesses are emergency grants and a forgivable loan program for companies with 500 or fewer employees, along with revised rules for expenses and deductions designed to help companies keep employees on the payroll and remain open during the crisis. Large corporations stand to benefit from approximately $500 billion in loans and other funding repayable to the government and subject to public disclosures and other requirements. Community and private health systems will receive help to enable them to better respond to the increasing demands they face. Provisions for state and local governments include direct aid to bolster cash reserves depleted by COVID-19 response efforts, along with Community Development Block Grants, school funding and money for programs for children and families. In this bulletin, we summarize some of the key provisions for businesses.
Compliments of Thompson Hine – a member of the EACCNY.