U.S. Representative Brett Guthrie is urging Kentucky’s small business owners to take advantage of relief funds in the CARES Act approved by Congress last week.
The Bowling Green Republican held a conference call with reporters on Thursday to highlight some of the financial aid in the coronavirus stimulus package.
The relief package includes a Payroll Protection Program to help small businesses continue to pay their workers through the pandemic. Guthrie says the aim is to prevent companies from going out of business.
“They can still write checks to their employees, pay rent to the person who owns their building, or if they own their building, pay interest on their mortgage, and pay their utilities, so they just don’t have to shut down," Guthrie said. "When we open this up, they’re ready to start business."
Guthrie says businesses can apply through their bank or credit union. The loans are backed by the Small Business Administration. If a business continues to pay employees and other expenses for two months, the loan will be forgiven. Any business with fewer than 500 employees can apply. Eligible businesses will also be able to defer their payroll taxes until 2021.
In addition to loans for small businesses, every person making less than $75,000 will get a $1,200 check, plus $500 per child, meaning a family of four could earn $3,400.
Guthrie says the money will be distributed through the IRS.
“The questions we’ve been getting from people particularly on social security or social security disability, without other income to the point where they don’t file income taxes, then it won’t be distributed that way.”
Guthrie said the Treasury Department is still determining the best way to distribute checks to those with no outside income.
Guthrie warns there are fraudulent websites and con artists making phone calls trying to get personal financial information under the guise of depositing stimulus checks.
The checks are not scheduled to be mailed out before May.