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【US Tax】Economic Injury Disaster Loans & Emergency Economic Injury Grants

【HW US Tax Department】

These grants provide an emergency advance of up to $10,000 to small businesses and private non-profits harmed by COVID-19 within three days of applying for an SBA Economic Injury Disaster Loan (EIDL). To access the advance, you must first apply for an EIDL and then request the advance. The advance does not need to be repaid under any circumstance, and may be used to keep employees on payroll, to pay for sick leave, meet increased production costs due to supply chain disruptions, or pay business obligations, including debts, rent and mortgage payments.

Q:Are businesses and private non-profits in my state eligible for an EIDL related to COVID19?

A:Yes, those suffering substantial economic injury in all 50 states, DC, and the territories may apply for an EIDL.

Q:What is an EIDL and what is it used for?

A:EIDLs are lower interest loans of up to $2 million, with principal and interest deferment available for up to 4 years, that are available to pay for expenses that could have been met had the disaster not occurred, including payroll and other operating expenses...

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