Business & Economic Impact of COVID-19

Small Business Administration regulations under the CARES Act.

Small Business Administration regulations under CARES Act.

Four tests for affiliation based on control apply to participants in the Paycheck Protection Program.1 For purposes of the determining the number of employees of an applicant to the Paycheck Protection Program, the applicant is considered together with its affiliates. Following is a summary of the applicable affiliation tests.

03/18/2020 Became Public Law No: 116-127.

The Paycheck Protection Program is providing small businesses with the resources they need to maintain their payroll, hire back employees who may have been laid off, and cover applicable overhead.

Assembles CARES Act recipient data and combines it with information about each firm’s history of regulatory violations, previous government assistance, federal tax avoidance, and CEO and worker pay practices.

The Congressional Oversight Commission is a five-person panel that was established by the CARES Act. The Commission is focused specifically on the economic stabilization efforts of the Treasury Department and the Federal Reserve.

Many small business owners are seeking guidance as they apply for loans backed by the Small Business Administration (SBA) to help maintain cash flow and retain workers even as more states announce new quarantine and shelter-in-place orders. The CARES Act includes financing options for small businesses owners and independent contractors, including the Paycheck Protection Program (PPP).

Full text of Paycheck Protection Act.

This interim final rule announces the implementation of sections 1102 and 1106 of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act or the Act). Section 1102 of the Act temporarily adds a new product, titled the “Paycheck Protection Program,” to the U.S. Small Business Administration's (SBA's) 7(a) Loan Program.

One of the most impactful is the Paycheck Protection Program (PPP), designed to provide access to cash so that businesses can keep paying their employees and other expenses such as health insurance premiums, rent or mortgage payments and utilities. This important financial relief will help small businesses return to being fully operational quicker once conditions improve. In this resource center designed for CPA firms, you’ll find tools to help you educate and advise your clients on the program.

In response totheCOVID-19pandemic, the President signed the Coronavirus Aid, Relief, and Economic SecurityAct (CARESAct; P.L. 116-136)on March 27, 2020. The act establishes consumer rightsto be grantedforbearance for federallyinsured mortgages (Section 4022) and federal student loans (Section 3513). The law also protects the credit histories of consumers with forbearance agreements (Section 4021).

Text of bill and current status.

On May 15, 2020, the House passed the HEROES Act (H.R. 6800), a wide-ranging Coronavirus Disease 2019 (COVID-19)relief bill. This Insight discusses selected provisions related to the Federal Reserve(Fed).

The Defense Production Act of 1950Congressional Research ServiceSummaryThe Defense Production Act (DPA) of 1950 (P.L. 81-774, 50 U.S.C. §§4501et seq.), as amended, confers upon the President a broad set of authorities to influence domestic industry in the interest of national defense.

On March 18, President Trump issued Executive Order 13909, Prioritizing and Allocating Health and Medical Resources to Respond to the Spread of COVID–19, which announced the President’s invocation of the Defense Production Act of 1950 (DPA) in response to the COVID-19 pandemic.

As the corona-virus (COVID-19) pandemic evolves, the United States faces drug and medical supply scarcities due to disrupted supply chains and increased demand.In response, the President may exercise emergency authorities under the Defense Production Act of 1950 (DPA; 50 U.S.C. §§4501et seq.) to address supply shortages and economic development impacts.

The Cold War-era law went into effect during a time when President Truman felt the nation was unprepared.

The Defense Production Act (DPA) was created at the outset of the Korean War to ensure the availability of the nation’s industrial resources to meet the national security needs of the United States by granting the President powers to ensure the supply and timely delivery of products, materials, and services to military and civilian agencies.

From Wolters Kluwer: Free access to state by state comparison of COVID-19 related laws.

From National Conference of State Legislatures. The U.S. Senate approved an estimated $2 trillion stimulus package to battle the harmful effects of the COVID-19 pandemic, though concerns with the unemployment provisions remain.

The global pandemic has spawned numerous legal challenges to state powers in the U.S, including several court filings with more expected.

Washington Gov. Jay Inslee, California Gov. Gavin Newsom and Oregon Gov. Kate Brown announced, on April 13, 2020, an agreement on a shared vision for reopening their economies and controlling COVID-19 into the future.

This report briefly summarizes the major individual and business tax provisions of the CARES Act,as enacted

Free access to Tax Notes news, analysis and documents related to coronavirus

Prepared by the staff of the Joint Committee on Taxation in consultation with the staffs of the House Committee on Ways and Means and the Senate Committee on Finance, describes the tax provisions of the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act (the “Act”).

The Employee Retention Credit under the CARES Act encourages businesses to keep employees on their payroll. The refundable tax credit is 50% of up to $10,000 in wages paid by an eligible employer whose business has been financially impacted by COVID-19.

This is intended as a guide to laws, regulations and executive actions in the United States, at both the federal and the state level, and in various countries with respect to the new coronavirus and its spread.

The COVID-19 crisis has generated a complex web of legal, business, and operational challenges that affect the entire economy. Law firms, auditors, and business advisors have responded with thousands of memoranda addressing a broad range of topics spanning areas as diverse as tax, antitrust, employment, and contract law.

From University of Cambridge Violence Research Centre: Prof Manuel Eisner: Crime in Times of the Pandemic. An Outline of Research Issues (slides and podcast audio).

This CRS Insight presents selected websites and CRS products potentially relevant to small businesses that are directly affected by the Coronavirus Disease 2019 (COVID-19) pandemic and seeking economic relief and assistance

Technical questions and answers.

With many states softening their shelter-in-place orders and allowing businesses to reopen, one job in great demand was something seldom heard of before the arrival of COVID-19: temperature takers. Many employers are requiring their employees to have their body temperatures taken daily before starting work. But is this and other employer-imposed pandemic response requirements legal?

The COVID-19 outbreakhas rapidly shifted the congressional agenda in recent weeks, while altering the daily livesof millions of American residents. Alongside the many medical, economic, social, and public policy questions raised by the pandemic are a range of legal issues. These include both short-term legal questions related to the unfolding outbreak as well as longer-term legal issues that are anticipated to persist in the wake of the crisis.

Congress has responded to the Coronavirus Disease 2019 (COVID-19)pandemic with various legislation providing relief to individuals and families, state and local governments, businesses, healthcare providers, and other entities.This CRS Insight provides information on selected sources for tracking COVID-19 relief funding provided through these bills.

The COVID-19 Law Lab initiative gathers and shares legal documents from over 190 countries across the world to help states establish and implement strong legal frameworks to manage the pandemic. The goal is to ensure that laws protect the health and wellbeing of individuals and communities and that they adhere to international human rights standards.

Compiling federal government reports and publications on the various ways COVID-19 has impacted every aspect of life, this database is organized into the following areas of impact: Economics, Global, Health, and Society.

. In the United States, the federal government and some state and local governments have reportedlybegun to gather geolocationdata voluntarily provided by the mobile advertising industry to assess how people are continuing to move and congregateduring the pandemic. "Technology companies such as Google and Facebook have also discussed leveraging some of their aggregated and anonymized location data for similar purposes."

"At least 42 U.S. states have issued emergency orders directing residents to “stay at home,”with many states prohibition on gatherings of various sizes to control the spread of Coronavirus Disease 2019 (COVID-19)."