The President signed the $2 trillion Coronavirus Aid Relief and Economic Security (CARES) Act into law to provide relief to Americans and businesses during the COVID-19 crisis and the first parts of the program went live on Friday, April 3. This is still a very dynamic situation, so the Motorcycle Industry Council is continually updating its COVID resources page and adding new benefits in real time.
The attached economic assistance resource "one-sheeter" is intended to be shared with dealers and industry partners as needed and the COVID page where this doc also lives (https://mic.org/#/covid) is accessible by non-members. TogetherWeRise and it is good for the industry to know the MIC is an available resource for them.
Thank you,
Cinnamon Kernes
Vice President & General Manager | MIC Events
Motorcycle Industry Council
2 Jenner, Suite 150 │ Irvine, CA 92618
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MIC COVID-19 ECONOMIC ASSISTANCE RESOURCES
You are a business with FEWER than 500 employees
Emergency Economic Injury Disaster Loan (EIDL)
-Up to $2 million for fixed debts, payroll, and other operating costs
-Up to $10,000 advance through January 1, 2021
-Lending decision within 3 days
Paycheck Protection Program ($350 billion)
-100% loan forgiveness if you retain the number of employees and donʼt reduce wages more than 25%
-Cover up to 2 1/2 months of payroll
-Capped at $10 million
-Open until June 30, 2020
-Remaining balance covered at low 4% interest max
-Distributed through Small Business Administration and 2,500+ certified lender
Apply through the SBA HERE (Also check your local lenderʼs website for application)
Short-term compensation assistance
-Employees who have reduced hours can seek unemployment insurance for the pro-rated amount of reduction
Tax Credit Info
Payroll tax credit
-50% of first $10,000 of employee pay from March- December 2020
Social Security tax deferment
-3-year extension with 1⁄2 paid by end of 2021 and 1⁄2 paid by end of 2022
Net operating loss
-2018-2020, 5-year carry back with full offset
Business interest expense
-Total interest expenses businesses can deduct increased from 30 to 50% for 2019 and 2020 tax returns
Immediate recovery of corporate alternative minimum tax (AMT) credits
Immediate write off for facility improvement costs
Self-employed or Independent Contractors (1099)
-Self-employed and contract 1099 employees whoʼs companies will not be supporting them through these business loan programs, can personally apply for a disaster relief loan.
-You may apply through the SBA, or the Department of Treasury site, or contact your local bank/credit union who will be processing loans
-Must self-certify that you were working and receiving pay as of Feb. 15th 2020
Last Updated: April 3, 2020 *DISCLAIMER: Each individual should consult their bank, tax and payroll professionals for definitive advice
