The Stimulus package, released early today, will inject approximately $2 trillion into the economy, providing tax rebates, four months of expanded unemployment benefits, and business tax-relief provisions aimed at shoring up individual, family and business finances.
The full Stimulus Bill’s language (with over 1,000 pages of details anticipated) is expected to be released later today. While K·Coe Isom’s advisors get busy digging into the full details of the historic relief package of spending and tax breaks, and how they impact you, here is the very high-level overview of what has been officially released.
- Agricultural programs—Ag producers impacted by coronavirus, including producers of specialty crops, producers that supply local food systems, including farmers markets, restaurants, and schools, and livestock producers, including dairy producers ($9.5 billion)
- Commodity Credit Corporation Fund—Reimbursement for Net Realized Losses ($14 billion)
- Employee retention tax credit to incentivize businesses to keep workers on payroll during the crisis.
- Corporate liquidity program ($500 billion)
- Small business loan program ($367 billion)
- Hospitals ($100 billion)
- State and local governments ($150 billion)
- Americans who make up to $75,000 ($1,200)
- Direct payments to individuals and families ($250 billion set aside)
- Couples making up to $150,000 ($2,400), with an additional $500 per child under 18
- Payments would decrease for those making more than $75,000, with an income cap of $99,000 per individual or $198,000 for couples.
- Emergency education funding ($30 billion)
- Emergency transit funding ($25 billion)
- Airlines ($25 billion in direct financial aid); Air cargo carriers ($4 billion)
- Bans stock buybacks for any corporation that accepts government loans during the term of their assistance plus one year.
- Bans businesses owned by the president, vice president, members of Congress and the heads of federal executive departments from receiving loans or investments through the corporate liquidity program. The prohibition also applies to their children, spouses and in-laws.
- Creates an inspector general and oversight committee for the corporate assistance program
- Unemployment insurance bolstered for four months by increasing payments and extending the benefit to those who typically do not qualify (gig economy workers, furloughed employees and freelancers).
- Specifically, the bill would increase the maximum unemployment benefit that a state gives to a person by $600 per week.
- Payroll tax deferral for employers
Stay tuned for more details as they become available. Visit K·Coe’s COVID-19 Resource & Updates page to see our latest updates.