Heroes Act: Second Stimulus Bill

Please read the quick summary of some highlights of the HEROES Act, signed by President Trump December 27, 2020.

Additional round of stimulus checks, more restrictive criteria

• Individuals making up to $75,000 a year will receive a payment of $600, while couples making up to $150,000 will receive $1,200, in addition to $600 per child. 2019 taxes will be used to certify individual’s eligibility, adult dependents and most college-age dependents will also miss out on this stimulus check. This round of stimulus checks will not start going out until January 15, 2021. As of December 29, House Democrats have passed a bill increasing the stimulus check to $2,000 but has not been approved by the Senate.

Federal unemployment assistance

• Jobless workers will get an extra $300 per week in federal cash through March 14. The legislation also extends employment benefits to self-employed individuals, gig workers and those who’ve exhausted their state benefits.

A second round of PPPs for certain businesses

• Pandemic-ravaged small businesses would see a total of $325 billion, including $284 billion in loans through the Paycheck Protection Program, $20 billion for businesses in low-income communities and $15 billion for struggling live venues, movie theaters and museums.

Accounting assistance for expenses paid with PPP

• The legislation allows businesses to deduct expenses associated with their forgiven PPP loans, in addition to expanding the employee retention credit intended to prevent layoffs. The package also extends a payroll tax subsidy for employers offering workers paid sick leave and boosts the Earned Income Tax Credit.

Rental Aid, Eviction Ban, Money for broadband

• Of the $25 billion in federal rental assistance, $800 million is set aside for Native American housing entities. A federal eviction ban has been extended through the end of January. The agreement invests $7 billion to increase expanded broadband access for students, families and unemployed workers, including $300 million for rural broadband and $250 million for telehealth.

Original content courtesy of Burlington Economic Development, found here: ​http://burlingtonnc.gov/1789/Blog