Gov. J.B. Pritzker of Illinois discusses the coronavirus crisis during a press conference last week.
By Ed Avis
The coronavirus crisis is killing restaurant sales across the country. How are the authorities responding? Fortunately, they seem to recognize the gravity of the situation. There are some really big proposals out there—such as the “Keeping Workers Paid and Employed Act,” which would provide forgivable loans to small businesses trying to make payroll.
But you probably want to know what’ a definite for now! We’ve put together this list of four things that have been confirmed as of Friday morning, March 20. At the end of the list, you’ll find a link for a state-by-state list of resources created by the National Restaurant Association.
1. Disaster Assistance Loans. Restaurants in many states—including Illinois, New York and California—are now eligible for disaster assistance loans from the Small Business Administration. These are low-interest loans up to $2 million. Click here for details.
2. Alcohol Sales. Many municipalities now allow restaurants to sell package liquor, despite many existing rules against that. For example, restaurants in Chicago can sell beer and wine for delivery takeout, though that was permitted earlier only in certain circumstances. In Arizona, restaurants throughout the state can sell liquor for delivery and carryout starting at 5 p.m. tonight (Friday, March 20).
3. Delayed Tax Payments. In many areas, restaurants will have extra time to pay their taxes. In Illinois, for example, small and medium-size restaurants that have less than $75,000 in sales tax liabilities will not be charged penalties or interest on payments due in March, April or May. Click here for details.
4. Paid Sick Leave. A new federal law requires businesses with fewer than 500 employees to offer 10 sick days to full-time employees and the hourly average of two weeks for part-time employees. This applies to employees who need to quarantine, are sick with Covid-19, need to take care of a sick family member, or need to stay home with kids who are out of school. Fortunately, businesses will receive a 100 percent tax credit for all the wages paid for this sick leave. Read more details by clicking here.
(The National Restaurant Association has created a PDF with state-by-state details about the coronavirus situation. Click here to read that PDF. )