# SBA Loans and Grants COVID-19



## OrlUberOffDriver

Got this email from my CPA, you all may want to read. Also, would the @UberTaxPro give some input.

Dear clients,
With the terrible times we are going through, the government and IRS are putting out notices and bills at a dizzying pace! What is true one day may not be the next. In that spirit and as of today's date, here are the stimulus packages so far to help small businesses AND the self-employed.
Although not business related there is the *'stimulus' payment to individuals*. Actually called the Economic Impact Payment, the full payment is $1,200 each or $2,400 for married couples filing joint, plus $500 for each qualifying child. Tax filers with adjusted gross income up to $75,000 for individuals and up to $150,000 for married couples filing joint returns will receive the full payment. For filers with income above those amounts, the payment amount is reduced by $5 for each $100 above the $75,000/$150,000 thresholds. Single filers with income exceeding $99,000 and $198,000 for joint filers with no children are not eligible.
As you probably know, the *tax deadline has been moved to July 15th*. This applies to taxes owed also. You can delay payment on taxes owed from your 2019 tax return until July 15th with no penalty. Also quarterly estimated tax payments for the first quarter are moved to July 15th. This means that currently the second estimated tax payment is now due before the first one, but IRS is expected to resolve his before that date.
For those in current *installment agreements* to pay back taxes, all payments are suspended from April to July, so they will not debit your account during these months.
Moving on the help you can get.

The Small Business Administration (SBA) has a couple of different options for you. My favorite is the*Economic Injury Disaster Loan Grant. *This loan is available 1/1-12/31/20 at it will run out of funds, so apply quickly! If you have less than 500 employees you are eligible, and this includes Sole Proprietors and independent contractors. Normally for an SBA loan you need to prove you cannot get a loan anywhere else. This is waived during this crisis, and the loans go up to $2 million. If you take a loan of less than $200,000 there is no personal guarantee required, you are not personally liable. You may however need to pledge collateral.

This loan can be approved solely on credit score and you don't have to submit proof of income such as tax returns. Here is the wonderful part *if the loan is denied, you can still get $10,000 advanced to you within three days of applying and do not have to pay it back.* If you ARE approved the SBA website is also saying that this advance will not need to be paid back. You must self certify that you are eligible for this loan under penalty of perjury, which will probably involve just checking a box. You apply at www.sba.gov and there is a banner on their home page. According to SBA rules you can use this money for:
Paid sick leave for employees

Maintaining employees during closings or slow downs

Increased costs of business due to the crisis

Rent or mortgage payments paid by the business

Repaying obligations that cannot be repaid due to revenue losses
If you only need $10,000 then no repayment period. If you also apply for the Paycheck Protection Program, then those funds received will be lowered by the amount you receive for this loan.
Moving on to the *Paycheck Protection Program*. I have attached explanations of the leave required to be paid to employees if you qualify for those. If you need more explanation of help on those please let me know. However this email covers help to employers. This is directly from the SBA website , which is also where you apply for this loan.
_The Paycheck Protection Program is designed to provide a direct incentive for small businesses to keep their workers on payroll by providing each small business a loan up to $10 million for payroll and certain other expenses.

If all employees are kept on payroll for eight weeks, SBA will forgive the portion of the loans used for payroll, rent, mortgage interest, or utilities. Up to 100 percent of the loan is forgivable.

Eligibility

Businesses - including eligible non-profits, Veterans organizations, Tribal concerns, sole proprietorships, self-employed individuals, and independent contractors described in the Small Business Act - with 500 or fewer employees may apply.

Businesses in certain industries may have more than 500 employees if they meet the SBA's size standards for those industries._

I hope this has been helpful and things are changing daily, so I am working hard to keep you informed. Stay safe!


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## waldowainthrop

via sba.gov:



> Applicant does not present live performances of a prurient sexual nature or derive directly or indirectly more than de minimis gross revenue through the sale of products or services, or the presentation of any depictions or displays, of a prurient sexual nature.


☹


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## Wolfgang Faust

waldowainthrop said:


> via sba.gov:
> 
> ☹


Do you drive from the back seat?
&#129300;


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## Jon Stoppable

Just applied for my share of the $10K for my (non-RS) business! Bear doesn't understand human society, but bear likes! Bear! Bear! Bear!


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## Wolfgang Faust

Thank you.
Just applied for my LLC.

NAMASTE


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## Seamus

Jon Stoppable said:


> Just applied for my share of the $10K for my (non-RS) business! Bear doesn't understand human society, but bear likes! Bear! Bear! Bear!


How? the application process hasn't had final definition yet. Probably not until 4/15 for the small business process.


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## Wolfgang Faust

Seamus said:


> How? the application process hasn't had final definition yet. Probably not until 4/15 for the small business process.


I applied.
Click on the sba link in original post.


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## Seamus

Wolfgang Faust said:


> I applied.
> Click on the sba link in original post.


OK I see what you guys are doing. My interest for the business I run and is the Paycheck Protection Program. That is where the bigger money is to help small businesses and thats what I am referring to. I misunderstood which program you and @Jon Stoppable are interested in.

The disaster relief Loan is of no interest to my business though I could see where a single proprietor might be. They Payroll Protection Program makes you eligible for 4 months of payroll and rent, utilities, etc.etc.. If you use the money for payroll and don't reduce headcount than the loan principal is forgiven and just the 4% interest is paid back. That's a great deal. Much more money but won't apply to sole proprietors.


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## Wolfgang Faust

Seamus said:


> OK I see what you guys are doing. My interest for the business I run and is the Paycheck Protection Program. That is where the bigger money is to help small businesses and thats what I am referring to. I misunderstood which program you and @Jon Stoppable are interested in.
> 
> The disaster relief Loan is of no interest to my business though I could see where a single proprietor might be. They Payroll Protection Program makes you eligible for 4 months of payroll and rent, utilities, etc.etc.. If you use the money for payroll and don't reduce headcount than the loan principal is forgiven and just the 4% interest is paid back. That's a great deal. Much more money but won't apply to sole proprietors.


How are you and yours?


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## Irishjohn831

A boilerroom

wheres that dude w all the question marks on his suit ?


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## Seamus

Wolfgang Faust said:


> How are you and yours?


Thanks for making. My wife and I are hunkered down. Around here it is smart to only rarely go out and take all precautions because it is still spreading rapidly. My COUNTY alone has 9300 cases as of yesterday afternoon which is more than any other STATE has except NJ.

I am afraid fore my wife as she has bad asthma so she may not fair well is she got it. I am a calm measured person so I do not exaggerate when I say it is hell here and I wouldn't wish this on any other location.

stay safe.


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## Wolfgang Faust

Seamus said:


> Thanks for making. My wife and I are hunkered down. Around here it is smart to only rarely go out and take all precautions because it is still spreading rapidly. My COUNTY alone has 9300 cases as of yesterday afternoon which is more than any other STATE has except NJ.
> 
> I am afraid fore my wife as she has bad asthma so she may not fair well is she got it. I am a calm measured person so I do not exaggerate when I say it is hell here and I wouldn't wish this on any other location.
> 
> stay safe.


&#128077;&#128591;&#128077;


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## NicFit

Thanks for the info, just applied for the 10k with my LLC, hope I get it 🤞😎


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## newgigtool

Great post, thank you for sharing  Re Paycheck protection program, go to your banks website and call your banker (if you have one, if not call and ask to speak to one) and ask them about this program. Some may not be aware that you qualify for this. YOU DO.

See Mark Cuban's tweet thread:

__ https://twitter.com/i/web/status/1243891096012365824


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## Irishjohn831

On a side note, anyone notice not a peep about any strain of flu this year, no bird flu, bat flu, monkey flu gnat flu, toucan flu, panda flu and a flu for you to sing to.


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## waldowainthrop

Irishjohn831 said:


> On a side note, anyone notice not a peep about any strain of flu this year, no bird flu, bat flu, monkey flu gnat flu, toucan flu, panda flu and a flu for you to sing to.


No one is talking about measles in 2019/2020, but it's actually worse recently:

https://www.cdc.gov/measles/cases-outbreaks.html
Influenza may not be particularly bad this year in the US, but it's worse than some years:

https://www.cdc.gov/flu/weekly/index.htm


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## Irishjohn831

waldowainthrop said:


> No one is talking about measles in 2019/2020, but it's actually worse recently:
> 
> https://www.cdc.gov/measles/cases-outbreaks.html
> Influenza may not be particularly bad this year in the US, but it's worse than some years:
> 
> https://www.cdc.gov/flu/weekly/index.htm


I'm curious how many of these deaths are due to other or attributing health issues.

even the discussion of hiv drugs and malaria drugs improving corona virus.

I'm like, really drugs that are used for immunosuppressant health issues work for an immunosuppressant pandemic ?

it's all about the T cells flagging the cells under attack


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## OldBay

Can you get this AND unemployment +600?


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## Seamus

OldBay said:


> Can you get this AND unemployment +600?


That's a very good question because the money has restrictions for its use (or supposed to) which seem to overlap unemployment.


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## New Uber

So. If you get the $10,000 grant only. How does this affect you tax-wise in 2021?


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## GIGorJOB

Great question if any of this can be combined with unemployment. Doubtful in my opinion only because your essentially paying yourself and/or keeping payroll so you could then be considered employed.

Also, is the PPP (expanded SBA 7a) only limited to 2.5x your average monthly payroll? Does that include/exclude other expenses?

Think you can get the EIDL and the PPP at the same time but for different purposes and the PPP can essentially refi or roll in the EIDL. EIDL advance may or may not be a grant but the $10k advance may prove to be more than the PPP if it's a really small business/sole prop such as rideshare or delivery.

Wonder if you can get more than one EIDL if you have more than one business?

I'm no expert, lots of misinformation out there so take it for what's it's worth.


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## UberBastid

OldBay said:


> Can you get this AND unemployment +600?


Apply for ALL OF IT, and let them decide.
You can't get in trouble for filling out an ap.
Just tell the truth - let them tell you that you don't qualify.


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## OldBay

UberBastid said:


> Apply for ALL OF IT, and let them decide.
> You can't get in trouble for filling out an ap.
> Just tell the truth - let them tell you that you don't qualify.


The TRUTH is that if you take out the loan to pay your salary, then you can't claim ue, because you aren't unemployed.


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## NicFit

OldBay said:


> The TRUTH is that if you take out the loan to pay your salary, then you can't claim ue, because you aren't unemployed.


So I applied for unemployment yesterday and then this loan today so what do I do? I didn't know the loan existed until today


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## OldBay

NicFit said:


> So I applied for unemployment yesterday and then this loan today so what do I do? I didn't know the loan existed until today


Your weekly ue check will require you to affirm that you don't have a salary.

If you tell them you have a job, you won't get ue.

If you get ue and take the loan, it is fraud.


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## argyowl

I agree with OldBay.


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## UberLAguy

If I form an S Corp today, could I get this ?


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## NicFit

If I use the 10k for only the business, ie car payments, repairs and other debt but not for personal use then use the ue just for my personal use for things like food and rent then is it still fraud? I don't think so, the business is a separate entity and I am technically an employee to it so I think if I keep them separate I think that's not fraud, ue never asked if I had money already so I think this is a unique situation. If I use the money for what's its was for to keep my business running and not to feed and shelter me then maybe I'm good? That was my plan anyway as I wasn't going to use the money for anything besides maintaining my business



UberLAguy said:


> If I form an S Corp today, could I get this ?


Possibly, if you can get it formed before their funds run out it might work as they hadn't said how long a business has to be running, this might be fraud if your not planning on using the money for business purposes, you could start a reselling business for some kind of stuff needed in this pandemic, 10k infusion would be an ok start up for eBay reselling


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## Seamus

NicFit said:


> If I use the 10k for only the business, ie car payments, repairs and other debt but not for personal use then use the ue just for my personal use for things like food and rent then is it still fraud? I don't think so, the business is a separate entity and I am technically an employee to it so I think if I keep them separate I think that's not fraud, ue never asked if I had money already so I think this is a unique situation. If I use the money for what's its was for to keep my business running and not to feed and shelter me then maybe I'm good? That was my plan anyway as I wasn't going to use the money for anything besides maintaining my business
> 
> 
> Possibly, if you can get it formed before their funds run out it might work as they hadn't said how long a business has to be running, this might be fraud if your not planning on using the money for business purposes, you could start a reselling business for some kind of stuff needed in this pandemic, 10k infusion would be an ok start up for eBay reselling


You need to read what an allowable use of the money is. It's spelled out in the link. About the only qualified use of the money for Rideshare would be to pay yourself a salary. Again, the allowable use of the money is restricted to specific items.



NicFit said:


> could start a reselling business for some kind of stuff needed in this pandemic, 10k infusion would be an ok start up for eBay reselling


Look at the specific restrictions on what the money can be spent on. Buying products to resell is not a qualified expense of the money. Re read the sba link. Basically mortgage, rent, (in the name of the business) or salary.


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## JaredJ

I applied for the 10k SBA on the 30th. Seemed easier than dealing with unemployment. I'll let all know if I get a disbursement within the next few days .


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## Seamus

JaredJ said:


> I applied for the 10k SBA on the 30th. Seemed easier than dealing with unemployment. I'll let all know if I get a disbursement within the next few days .


Each persons situation may be different. In some cases better to take the 10k and in some cases not. Unique to the individual and the state.

You can think of it this way. 10k / $600 = almost 17 weeks of the federal unemployment subsidy but getting it all up front. If worse comes to worse after the 17 weeks is up you could probably file for unemployment if you had to and it was still available.

The problem will be the people that try doing both. Eventually most will get caught and that will end badly for them.


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## OldBay

Seamus said:


> Each persons situation may be different. In some cases better to take the 10k and in some cases not. Unique to the individual and the state.
> 
> You can think of it this way. 10k / $600 = almost 17 weeks of the federal unemployment subsidy but getting it all up front. If worse comes to worse after the 17 weeks is up you could probably file for unemployment if you had to and it was still available.
> 
> The problem will be the people that try doing both. Eventually most will get caught and that will end badly for them.


Most states will give an uber driver somewhere between 1/3 and 1/2 their normal earnings in unemployment, + the $600.

In my state I believe we get half. A driver who averages 1000/wk could end up getting 1100/wk.


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## UberBastid

OldBay said:


> The TRUTH is that if you take out the loan to pay your salary, then you can't claim ue, because you aren't unemployed.


then borrowing money is a job?
(my wife thinks so ... but, do you?)

Think about what you said.
You said that: Someone who borrows a few bucks to eat because he's unemployed, is employed.

So, if I lose my job today, but use a credit card for lunch, I am employed?

Sorry, doesn't make sense to me.


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## JPinOC949

OldBay said:


> Most states will give an uber driver somewhere between 1/3 and 1/2 their normal earnings in unemployment, + the $600.
> 
> In my state I believe we get half. A driver who averages 1000/wk could end up getting 1100/wk.


If going the UI route, any idea if they will go off gross or adjusted gross? Or how they would even know what our gross is? Would uber/lyft give them that info or would we somehow report it? While I make around 1k/wk gross, it works out to next to nothing with all the deductions and expenses written off on taxes. I haven't applied for either yet, kinda been waiting for more information to become available here & elsewhere to make an informed decision.


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## ChrisFZ

Consider the $600 UI benefit ends July 31st, 2020. Only the "calculation for gig workers" continues after for X number of weeks.
Would applying for and receiving the PPP at the beginning (assuming the funds are going to run out) and as a "business" decide *hold* the loan, then go off unemployment July 31st, and disburse the PPP to yourself as an August 1st paycheck.
Then doing that for 8 weeks thereby fulfilling the forgivable requirement. If you wait for August 1st and apply for PPP (edit: program ends June 30th), I doubt any funds would be left.
Is that reasonable or fraud?


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## OldBay

UberBastid said:


> then borrowing money is a job?
> (my wife thinks so ... but, do you?)
> 
> Think about what you said.
> You said that: Someone who borrows a few bucks to eat because he's unemployed, is employed.
> 
> So, if I lose my job today, but use a credit card for lunch, I am employed?
> 
> Sorry, doesn't make sense to me.


You have to wear different hats.

If a business owner takes out a loan to pay his and his employee's salaries, then he and all his employees are still employed. This is incentive to keep people off welfare.

You being the boss and the sole employee doesn't change the fact that if you pay yourself through the loan, that you are still employed. You can't pretend to be one or the other as it suits you.

The advantage of the loan is that you can still keep working, so if business was half or less than usual, you may come out ahead compared to UE.

I'm absolutely certain that greed will overtake morality, even if someone spells it out. However, if they cross check the lists, see that you took out a loan to keep paying your salary, then declared that you were unemployed, that would be fraud. Check to see the penalty of unemployement fraud.



JPinOC949 said:


> If going the UI route, any idea if they will go off gross or adjusted gross? Or how they would even know what our gross is? Would uber/lyft give them that info or would we somehow report it? While I make around 1k/wk gross, it works out to next to nothing with all the deductions and expenses written off on taxes. I haven't applied for either yet, kinda been waiting for more information to become available here & elsewhere to make an informed decision.


I dont know how they will calculate it. Or when.


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## JaredJ

As an aside, here is the correspondence I received from the Texas Unemployment Office regarding an application I submitted on 3/24 and received $0 benefits from and had $0 in approved income:


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## NicFit

JaredJ said:


> As an aside, here is the correspondence I received from the Texas Unemployment Office regarding an application I submitted on 3/24 and received $0 benefits from and had $0 in approved income:
> View attachment 441042


They must not of updated their rules for Uber and Lyft yet, try them again and call to see if they can get you approved

I think they'll deny my ue too so I'll have to try to figure that out. The 10k loan advance is for business purposes to keep the business running due to loss of revenue from covid-19. Then I probably misspoke about using the funds for reselling, but I plan on using mine for payment I would normally be able to make if there wasn't a disaster


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## JaredJ

NicFit said:


> They must not of updated their rules for Uber and Lyft yet, try them again and call to see if they can get you approved
> 
> I think they'll deny my ue too so I'll have to try to figure that out. The 10k loan advance is for business purposes to keep the business running due to loss of revenue from covid-19. Then I probably misspoke about using the funds for reselling, but I plan on using mine for payment I would normally be able to make if there wasn't a disaster


I like your approach. Pay yourself per week an appropriate amount from the SBA grant; if UE goes through, remember that the amount of UE offsets the grant and will need to be repaid. The Federal government never forgets.


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## Fusion_LUser

JaredJ said:


> I applied for the 10k SBA on the 30th. Seemed easier than dealing with unemployment. I'll let all know if I get a disbursement within the next few days .


I did the 10k as well as I won't qualify for unemployment benefits.


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## NicFit

Fusion_LUser said:


> I did the 10k as well as I won't qualify for unemployment benefits.


Better keep checking, all gig workers will be getting ue for this pandemic, they just need to update their rules and we know ue is slammed with people trying to collect so you just need to keep trying until you get it


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## Fusion_LUser

NicFit said:


> Better keep checking, all gig workers will be getting ue for this pandemic, they just need to update their rules and we know ue is slammed with people trying to collect so you just need to keep trying until you get it


I have a full time job (my wife as well) I only did Uber/Lyft three nights a week. 18-20 hours for the most part. I assumed I didn't qualify.


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## NicFit

Fusion_LUser said:


> I have a full time job (my wife as well) I only did Uber/Lyft three nights a week. 18-20 hours for the most part. I assumed I didn't qualify.


Yeah, with the full time job I don't think you do, not really sure how that works but you can try contacting them and see if you qualify. It is a loss of a income so worth a try

You have to check with you state ue laws, loss of income could qualify you for the ue


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## Ballard_Driver

I think some of you may be under appreciating this...

Obviously if one gets $10K they don't have to pay out that's awesome. But it's not ONLY for $10K tops. Let's say you put in $25K. This could be to cover lost income for some nebulous period of time. Say $3333 for 3 months. But if you get $15K on top of that, if you have any other debt, say credit card or a car payment, you could pay those off and potentially save a lot on interest. Obviously the other $15K will have to be paid back, but the interest rates are lower than for virtually any other type of loan you will find. 

Being issued a $25K loan isn't weird or crazy for somebody with $50K a year in income, so if you don't have horrible credit it is entirely possible they may issue it. $10K free money + an ultra low interest loan is not a bad deal either! So don't think JUST about the free $10K.

I'm still debating whether or not to submit, but I may. I want to work out a few more things in my head and see if anybody here gets paid out and what their experience is.


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## leosc

Ballard_Driver said:


> I think some of you may be under appreciating this...
> 
> Obviously if one gets $10K they don't have to pay out that's awesome. But it's not ONLY for $10K tops. Let's say you put in $25K. This could be to cover lost income for some nebulous period of time. Say $3333 for 3 months. But if you get $15K on top of that, if you have any other debt, say credit card or a car payment, you could pay those off and potentially save a lot on interest. Obviously the other $15K will have to be paid back, but the interest rates are lower than for virtually any other type of loan you will find.
> 
> Being issued a $25K loan isn't weird or crazy for somebody with $50K a year in income, so if you don't have horrible credit it is entirely possible they may issue it. $10K free money + an ultra low interest loan is not a bad deal either! So don't think JUST about the free $10K.
> 
> I'm still debating whether or not to submit, but I may. I want to work out a few more things in my head and see if anybody here gets paid out and what their experience is.


Have you made a decision yet?


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## Ballard_Driver

leosc said:


> Have you made a decision yet?


Nope. I kinda want to see if anybody here gets kicked down the $10K. I have money in the bank anyway, and am making enough to stay afloat indefinitely doing delivery stuff on top of my real business.


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## mbd

Some guy tweeted that up to 30 million people( business)will be applying for the 350$ billion dollar pie.
Banks are not ready yet. Cause for concern is the fraudulent paper works. SBA loans - banks are guaranteed majority of the the money by the SBA(if you default on the loan) . Banks will be diligent , majority is not 100% guaranteed. They will prefer their own clients or good credit scores.


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## mbd

mbd said:


> Some guy tweeted that up to 30 million people( business)will be applying for the 350$ billion dollar pie.
> Banks are not ready yet. Cause for concern is the fraudulent paper works. SBA loans - banks are guaranteed majority of the the money by the SBA(if you default on the loan) . Banks will be diligent , majority is not 100% guaranteed. They will prefer their own clients or good credit scores.


https://www.nytimes.com/2020/04/02/business/small-business-coronavirus-stimulus.html
https://www.google.com/amp/s/www.vo...rogram-apply-small-business-loans-coronavirus


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## Bergie

Trump is asked about funding of this every day and says they will add more money as needed. Both sides want to be pro small business so funds shouldn't be a problem imo.


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## UberBastid

Bergie said:


> Trump is asked about funding of this every day and says they will add more money as needed. Both sides want to be pro small business so funds shouldn't be a problem imo.


no.
Only getting them.


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## The queen 👸

Bergie said:


> Trump is asked about funding of this every day and says they will add more money as needed. Both sides want to be pro small business so funds shouldn't be a problem imo.


Hope you right .


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## Jon Stoppable

Jon Stoppable said:


> Just applied for my share of the $10K for my (non-RS) business! Bear doesn't understand human society, but bear likes! Bear! Bear! Bear!


Bear has not gotten any money or heard anything back yet. They said three days! Bear is getting hungry!!! :cryin:


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## misscrystal

Can someone please explain to me about how the SBA Economic Injury Disaster Loan works?

Like for instance, it keeps saying independent contractors are eligible, but Uber Drivers don't have any employees. Yet, this has been posted on the boards numerous times.

Also, someone posted it should be spent on

Paid sick leave for employees

Maintaining employees during closings or slow downs

Increased costs of business due to the crisis

Rent or mortgage payments paid by the business

All business expenses related to employees besides the rent one. Our rent doesn't apply to driving though.

Also, I don't understand how people can just get 10,000 free money.



OrlUberOffDriver said:


> Got this email from my CPA, you all may want to read. Also, would the @UberTaxPro give some input.
> 
> Dear clients,
> With the terrible times we are going through, the government and IRS are putting out notices and bills at a dizzying pace! What is true one day may not be the next. In that spirit and as of today's date, here are the stimulus packages so far to help small businesses AND the self-employed.
> Although not business related there is the *'stimulus' payment to individuals*. Actually called the Economic Impact Payment, the full payment is $1,200 each or $2,400 for married couples filing joint, plus $500 for each qualifying child. Tax filers with adjusted gross income up to $75,000 for individuals and up to $150,000 for married couples filing joint returns will receive the full payment. For filers with income above those amounts, the payment amount is reduced by $5 for each $100 above the $75,000/$150,000 thresholds. Single filers with income exceeding $99,000 and $198,000 for joint filers with no children are not eligible.
> As you probably know, the *tax deadline has been moved to July 15th*. This applies to taxes owed also. You can delay payment on taxes owed from your 2019 tax return until July 15th with no penalty. Also quarterly estimated tax payments for the first quarter are moved to July 15th. This means that currently the second estimated tax payment is now due before the first one, but IRS is expected to resolve his before that date.
> For those in current *installment agreements* to pay back taxes, all payments are suspended from April to July, so they will not debit your account during these months.
> Moving on the help you can get.
> 
> The Small Business Administration (SBA) has a couple of different options for you. My favorite is the*Economic Injury Disaster Loan Grant. *This loan is available 1/1-12/31/20 at it will run out of funds, so apply quickly! If you have less than 500 employees you are eligible, and this includes Sole Proprietors and independent contractors. Normally for an SBA loan you need to prove you cannot get a loan anywhere else. This is waived during this crisis, and the loans go up to $2 million. If you take a loan of less than $200,000 there is no personal guarantee required, you are not personally liable. You may however need to pledge collateral.
> 
> This loan can be approved solely on credit score and you don't have to submit proof of income such as tax returns. Here is the wonderful part *if the loan is denied, you can still get $10,000 advanced to you within three days of applying and do not have to pay it back.* If you ARE approved the SBA website is also saying that this advance will not need to be paid back. You must self certify that you are eligible for this loan under penalty of perjury, which will probably involve just checking a box. You apply at www.sba.gov and there is a banner on their home page. According to SBA rules you can use this money for:
> Paid sick leave for employees
> 
> Maintaining employees during closings or slow downs
> 
> Increased costs of business due to the crisis
> 
> Rent or mortgage payments paid by the business
> 
> Repaying obligations that cannot be repaid due to revenue losses
> If you only need $10,000 then no repayment period. If you also apply for the Paycheck Protection Program, then those funds received will be lowered by the amount you receive for this loan.
> Moving on to the *Paycheck Protection Program*. I have attached explanations of the leave required to be paid to employees if you qualify for those. If you need more explanation of help on those please let me know. However this email covers help to employers. This is directly from the SBA website , which is also where you apply for this loan.
> _The Paycheck Protection Program is designed to provide a direct incentive for small businesses to keep their workers on payroll by providing each small business a loan up to $10 million for payroll and certain other expenses.
> 
> If all employees are kept on payroll for eight weeks, SBA will forgive the portion of the loans used for payroll, rent, mortgage interest, or utilities. Up to 100 percent of the loan is forgivable.
> 
> Eligibility
> 
> Businesses - including eligible non-profits, Veterans organizations, Tribal concerns, sole proprietorships, self-employed individuals, and independent contractors described in the Small Business Act - with 500 or fewer employees may apply.
> 
> Businesses in certain industries may have more than 500 employees if they meet the SBA's size standards for those industries._
> 
> I hope this has been helpful and things are changing daily, so I am working hard to keep you informed. Stay safe!


I read your post, but could you clarify what I wrote below please?

Can someone please explain to me about how the SBA Economic Injury Disaster Loan works?

Like for instance, it keeps saying independent contractors are eligible, but Uber Drivers don't have any employees. Yet, this has been posted on the boards numerous times.

Also, someone posted it should be spent on

Paid sick leave for employees

Maintaining employees during closings or slow downs

Increased costs of business due to the crisis

Rent or mortgage payments paid by the business

All business expenses related to employees besides the rent one. Our rent doesn't apply to driving though.

Also, I don't understand how people can just get 10,000 free money.


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## MajorBummer

Dont worry,even small businesses dont get 10k,just another Trumputin lie.
As a driver I would not expect it.

On the other hand big corporations that have lobbyists and an Army of lawyers already got their money and there is nothing left for the people that really need it.


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## NicFit

I have applied for 10k for this loan, I’ll let you know if I get approved but you had to have a business checking account prior to February 15 to even apply, so if you don’t have a business checking account and tax ID for the business prior you can’t get the loan. Most rideshare drivers won’t be able to apply as they don’t have all this. They also said there is no guarantee that the loan will be forgiven but first trying to see if I even get it then figure out the rest later


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## Lvd2020




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## NicFit

Dear Applicant,

On March 29, 2020, following the passage of the CARES Act, the SBA provided small business owners and non-profits impacted by COVID-19 with the opportunity to obtain up to a $10,000 Advance on their Economic Injury Disaster Loan (EIDL). The Advance is available as part of the full EIDL application and will be transferred into the account you provide shortly after your application is submitted. *To ensure that the greatest number of applicants can receive assistance during this challenging time, the amount of your Advance will be determined by the number of your pre-disaster (i.e., as of January 31, 2020) employees. The Advance will provide $1,000 per employee up to a maximum of $10,000.*

You may be eligible for another loan program, the *Paycheck Protection Program*, which is available through participating lenders. Below is a comparison of the two loan programs:

* Paycheck Protection Program Full EIDL Loan*


*PURPOSE*​Forgivable if used for payroll (minimum of 75% of the funds received) and the remaining for certain operating expenses (amount of any EIDL advance is not forgivable)​To meet financial obligations and operating expenses that could have been met had the disaster not occurred (amount of any EIDL advance is forgiven)​*TERMS*​Up to $10 million
1% interest rate​Up to $2 million
3.75% for businesses
2.75% for non-profits​*FORGIVABLE*​YES​NO - EIDL Loan
YES - EIDL Advance​*MATURITY*​2 years​30 years​*FIRST PAYMENT DUE*​Deferred 6 months​Deferred 1 year​

To locate a Paycheck Protection Program Lender, please visit: www.SBA.gov/PaycheckProtection.
Information on available resources may be found at www.sba.gov/coronavirus. For more information on these services, please go to www.sba.gov/local-assistance to locate the email address and phone number for the nearest SBA district office and/or SBA's resource partners.​
An email I just got from sba.gov, not sure how it applies to independent contractor/solo employees but there is better details on the requirements


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## Lvd2020

When did you file? I submitted mine Mar 31st but haven't received any email info yet.


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## NicFit

You should file with who you bank with, I filed about a week ago on April 7, that’s when my bank started taking applications


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## Fusion_LUser

NicFit said:


> You should file with who you bank with, I filed about a week ago on April 7, that's when my bank started taking applications


So you did the PPP application? I got the same e-mail for the EIDL today.


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## NicFit

Yes, through my bank, sba.gov doesn’t do the loan directly, they fund a bank and then the bank gives out the money. If you have a business account go to your banks homepage, look for the covid-19 assistance and find out how to apply. Should be something like small business loans or paycheck protection. If you don’t have a business account and tax ID before January 30 you won’t qualify. By now though you’ll probably not get it anyway as they said they had limited funds but apply anyway, you may have to wait until the second package but I think eventually they’ll get the money to you


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## New Uber

I need tax advice. I got an email saying that suggested I would be getting an SBA GRANT for $1,000.00. I need to know how this will affect my 2020 taxes if I keep this grant.


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## 300Miles

New Uber said:


> I need tax advice. I got an email saying that suggested I would be getting an SBA GRANT for $1,000.00. I need to know how this will affect my 2020 taxes if I keep this grant.


This is a scam.


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## MajorBummer

The SBA will not send you an email begging you to take their money.
It's a scam.


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## New Uber

I need an actual answer to this. Not a scam . I need tax advice. I got an email saying that suggested I would be getting an SBA GRANT for $1,000.00. I need to know how this will affect my 2020 taxes if I keep this grant.


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## 300Miles

Right. I am assuming it is a scam because if you haven't already applied for it, it should not be being offered to you out of the blue. Here is where you apply for the SBA EIDL grant for $1K: https://www.sba.gov/funding-program...onomic-injury-disaster-loan-emergency-advance.

In terms of tax advice, somebody else who is an accountant care to chip in?

Good luck.


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## MajorBummer

Tax advise on a $1000 ?
Be serious. If your tax rate is 25 % u pay $250 in taxes,its not that hard now is it?


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## New Uber

300Miles said:


> Right. I am assuming it is a scam because if you haven't already applied for it, it should not be being offered to you out of the blue. Here is where you apply for the SBA EIDL grant for $1K: https://www.sba.gov/funding-program...onomic-injury-disaster-loan-emergency-advance.
> 
> In terms of tax advice, somebody else who is an accountant care to chip in?
> 
> Good luck.


Well yes. That is where it is coming from. I've never gotten a grant. Is it taxable? Also, how does getting a grant affect Unemployment Benefits (which I have yet to hear a peep from)?

I prefer to keep my taxes as simple as possible. So. now a possible 1099-K from Uber, a grant and Unemployment. Sounds like a mess for next year's taxes. Oh yes, I also have 1099-MISC as well


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## Lvd2020

New Uber said:


> Well yes. That is where it is coming from. I've never gotten a grant. Is it taxable? Also, how does getting a grant affect Unemployment Benefits (which I have yet to hear a peep from)?
> 
> I prefer to keep my taxes as simple as possible. So. now a possible 1099-K from Uber, a grant and Unemployment. Sounds like a mess for next year's taxes. Oh yes, I also have 1099-MISC as well


Maybe DM ubertaxpro


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## NicFit

New Uber said:


> Well yes. That is where it is coming from. I've never gotten a grant. Is it taxable? Also, how does getting a grant affect Unemployment Benefits (which I have yet to hear a peep from)?
> 
> I prefer to keep my taxes as simple as possible. So. now a possible 1099-K from Uber, a grant and Unemployment. Sounds like a mess for next year's taxes. Oh yes, I also have 1099-MISC as well


If it's taxable they send you some kind of tax form. Not sure if grants are taxable but you should ask a tax consultant this question. $1k might not be enough to be considered taxable but a tax consultant will know. Also who is the source of the $1k? If it's your bank saying you get the $1k take it. Anyone else it's a scam to get your information

The $1k isn't taxable, you'll get a loan at the start then after you get the loan they will determine if you have to pay it back, so it's not a grant it's a loan you don't have to pay back


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## JayTexan

JaredJ said:


> As an aside, here is the correspondence I received from the Texas Unemployment Office regarding an application I submitted on 3/24 and received $0 benefits from and had $0 in approved income:
> View attachment 441042


Try the following:
Login to your TWC account and click "Claim Status"
If the first page that opens shows $0, it will probably contain a link that says something like"track another claim"
Click "track another claim"
You may see two claims a regular UI claim and a DUA claim
Click DUA and you will hopefully see some numbers. Note you have to "request payment" for the payment deposit.


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