Carroll County, State of Maryland and Federal

Grant & Assistance Programs

March 31, 2020: Carroll County Board of Commissioners voted unanimously to establish Carroll County Small Business $500,000 COVID-19 Emergency relief Grant Fund.

Carroll County Small Business Development Center

State of Maryland Business Relief Programs and Webinars

March 27, 2020: President Trump signs Care Act. Small business programs included.

  • The Payroll Protection Program

  • Small Business Debt Relief Programs

  • Economic Injury Loans and Grants Programs

U.S Small Business Administration - Disaster Assistance 

SBA Economic Injury Disaster Loans (EIDL)

  • Small business with fewer than 500 employees, and 501(c)s (including faith-based)

  • 2.75% rate for nonprofits, up to $2 million in working capital loan

  • Payments deferred for up to a year

  • Up to $200,000 without personal guarantee

  • Approval on credit score, no tax returns required

  • Apply through SBA

  • $10,000 emergency grant available within three days, does not have to repaid under any circumstances

    • If you get a PPP loan this amount will be included in that loan.  Can’t double dip.

Paycheck Protection Program (PPP)

  • Available to small business, including 501(c)(3)s with generally less than 500 employees

  • Loans will be made through local and national lenders and should be available this Friday

  • Maximum amount is lesser of $10 million or 2 ½ months of average payroll

  • Loans convert to grants for amounts spent during 8 weeks after origination on payroll, rent, interest on mortgage, and utilities

  • If number of Full Time Employees (FTEs) is reduced from base period or wages are reduced by more than 25%, loan forgiveness may be reduced

  • Can bring back employees within 30 days and restore wages and maintain by June 30th

*Other notes*

  • Starting April 1 you can delay payment of employer payroll taxes thru 12/31/2020.  Talk to your payroll provider if they have not already reached out.

    • 50% of the taxes from 4/1/2020 – 12/31/2020 are due 12/31/2021

    • Remainder is due 12/31/2022

  • Modification to Net Operating Loss (NOL) Limitations

    • Lifted restriction of NOL carry back.

    • This provision provides than an NOL generated in 2018, 2019 and 2020 may be carried back to the preceding five (5) tax years. 

      • If you have losses, may want to have your accountant first look @ applying to 2017 return since tax rate was higher that year.

  • Charitable contribution limitation for corporation

    • Limited to 10% of taxable income increased to 25% for 2020 tax year.

  • Business interest expense deductions

    • Limited to 30% of Taxable Income (TI).  Increased to 50% of TI for 2019 & 2020.

References

Click below for the Small Business owner's guide to the Federal Care Act.

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