As California businesses struggle to stay afloat during the COVID-19 pandemic, there have been several government programs enacted in an attempt to help. Coming from federal, state, and local levels, help for certain businesses is available. If your business has been affected by the Coronavirus, our COVID-19 Business Survival Consulting practice can help you identify the programs and resources that are right for your business.
Recently, California Governor Gavin Newsom announced that he was allowing certain businesses to temporarily keep up to $50,000 in collected sales tax. The retained sales tax proceeds could be used to pay employees, rent, or other necessary business expenses. The sales taxes would still need to be paid over to the government, but those participating in the program would have up to one year to do so.
Only certain businesses qualify for the governor’s sales tax program. A business qualifies if they have $5 million or less in gross sales. Furthermore, Newsom’s sales tax program does not preclude businesses from also taking part in other federal, state, or local programs such as the Paycheck Protection Program, which allows qualifying businesses to receive a forgivable loan that can be used to pay payroll expenses, rent, utilities, and other pre-Coronavirus debt.
Every level of government is making an effort to assist businesses during this unprecedented global pandemic. The result is a flurry of new programs. Some have interactions and dependencies relating to other programs while others stand alone. Having a trusted advisor who is well-versed and has a deep understanding of these developing programs can mean the difference between your business struggling and thriving during this downturn.
The COVID-19 Business Survival Consulting team at the Tax Law Offices of David W. Klasing is poised to help your business from a business planning, legal, and tax perspective. We have studied the new programs intended to benefit businesses and have helped our clients take full advantage of them. Many federal programs have budgetary restrictions, meaning that there are only so many dollars allocated to the particular program. This means that when proceeds are gone, they are gone. Being a first-mover on COVID-19 programs will help ensure that your business is not left out in the cold.
Regardless of your particular business or estate needs, the professionals at the Tax Law Offices of David W. Klasing are here for you. We are open for business and our team will help ensure that your business is too. Contact the Law Offices of David W. Klasing today to discuss your business with one of our professionals.
In addition to our main office in Irvine, the Tax Law Offices of David W. Klasing has unstaffed (conference room only) satellite offices in Los Angeles, San Bernardino, Santa Barbara, Panorama City, Oxnard, San Diego, Bakersfield, San Jose, San Francisco, Oakland, Carlsbad, and Sacramento. During the COVID-19 pandemic, our staff are working from home, but have full virtual meeting capability.
Our office technology allows clients to meet virtually via GoToMeeting. With end-to-end encryption, strong passwords and top-rated reliability, no one is messing with your meeting. To schedule a reduced-rate initial consultation via GoToMeeting follow this link. Call our office and request a GoToMeeting if you are an existing client.
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