A massive support bill for individuals and businesses in the US has been passed by the Senate. In a remarkable sign of bipartisanship the bill was passed unanimously 96-0. The bill also provides support for local governments and hospitals.
Individuals will receive a check for $1,200 per adult if you are earning up to $75,000. There is a gradual reduction in the repayment for incomes from $75,000 to $99,000. There is no repayment if your income is over $99,000.
For couples, they will each receive $1,200 as long as their joint income is $150,000 or less. There is a phase out for joint incomes of $150,000 to $198,000 - no repayments if your joint income is over $198,000.
In addition, all children will receive $500 - there is no income testing for the parents or carers.
The US Treasury has provided loan funding for businesses, creating a $500 billion loan program. There is a second $350 billion loan program for small businesses, offering to write off loans if those businesses can avoid layoffs of staff.
Hospitals and local governments have also received support, each receiving $150 billion in funding.
Alistair Bambridge, partner at Bambridge Accountants New York, explains: “For many US taxpayers their priorities are to care for their families and loved ones in these uncertain times and the checks will help provide much needed support.
“This bill is the largest emergency aid package in history, the most significant action to date in the US to address the affect of the coronavirus on the economy and individual's personal finances.
“It may be that the bill is just a first step and that additional funding and support are necessary as we learn more about the impact of the pandemic. The paramount concern will be protecting our loved ones, families and the community.
Contact Alistair Bambridge, [email protected], +1 646 956 5566.
Bambridge Accountants has offices in London and New York, specializing in tax preparation for actors and other creatives and US expats around the world.
