Cheung and Associates, Inc. CPA : Coronavirus Relief News

Coronavirus Aid, Relief and Economic Security Act (CARES Act) Highlights

Direct Cash Payments

Under the plan, individuals making up to $75,000 a year are expected to receive checks for $1,200. Couples making up to $150,000 would receive $2,400, with an additional $500 per child. The payments would decrease for those making more than $75,000, with an income cap of $99,000 per individual or $198,000 for couples.
Your 2018 or 2019 income tax filing will be the basis for determining the amount you will receive. It is anticipated that the payment will be direct-deposited to taxpayer accounts.

Mortgage Payment Relief

Citigroup, JP Morgan Chase Bank, Wells Fargo, US Bank together with credit unions and other state-chartered banks have agreed to provide borrowers a streamlined process to request forbearance from payments up to 90 days.This means that the credit of borrowers who qualify will not be negatively impacted.
Bank of America will work with borrowers on a “case-to-case” basis.
Borrowers are required to request forbearance before they are miss any payments. Banks will require documentation that proves a borrower has been negatively impacted financially by Covid-19 before approving the assistance.

Unemployment Benefits

Individuals who receive unemployment benefits may receive an additional $600 for four (4) months on top of the regular unemployment compensation.
People who work part-time or are engaged in freelance work, gig economy (i.e. Uber, Airbnb) will also qualify for unemployment benefits.
People who are still unemployed after state benefits end could get an additional 13 weeks of help.
Unemployment benefits are extended from 26 weeks to 39 weeks.

To file for CA unemployment benefits, copy/paste URL https://www.edd.ca.gov/Unemployment/UI_Online.htm

Assistance for Small Businesses

The Paycheck Protection Program Loan of CARES Act will be made available for small businesses to keep paying their employees for eight (8) weeks. These loans will be forgiven if the workforce is maintained by the business.
Companies that kept on workers despite a significant loss of revenue could get a tax credit. The credit is based on payroll taxes paid.
In addition to the Paycheck Protection Loan Program, the Small Business Administration (SBA) is currently accepting applications for low-interest disaster loans due to Covid-19 under the Economic Injury Disaster Loan (EIDL) program. Small business owners in all 50 states are eligible for this loan.