Sandoval News

The Rio Rancho Regional Chamber of Commerce and the U.S. Small Business Administration (SBA) explained the different types of loans and financial relief programs businesses can take advantage of during the COVID-19 pandemic. 

A Zoom conference was held between the Chamber of Commerce President and CEO Jerry Schalow and Javier Caltenco, with the SBA, according to RR Observer. During the conference, officials discussed how to better offer guides to businesses owners.

“Quite honestly, it has been a very bumpy road. SBA is going through a lot of challenges,” Schalow said during the conference. 

He also said the Chamber of Commerce is working virtually to help businesses through this difficult time, according to RR Observer. 

During the conference, several programs were discussed. Some of the highlighted programs were payroll taxes, employee retention credit, Economic Development Department loans and economic injury disaster loans. 

Payroll taxes will allow an employer to delay payroll tax payments, which include Social Security, according to RR Observer. Payments will be delayed until Jan. 1, 2021. Half of the unpaid tax will be due on Dec. 31, 2021, and the other half will be due on Dec. 31, 2022. 

Any employers with a Paycheck Protection Program (PPP) loan are not eligible for this program, Schalow said during the conference. 

“So you’re basically deferring your taxes due this entire year for payroll taxes into the next year and the following. It is a great program,” he at the Zoom conference.

Employee Retention Credit will be available to any employer that has partially or completely shut down, according to RR Observer. Any employer wit a 50% decrease in receipts in a quarter is also eligible. 

Businesses eligible for this program will receive a tax credit for 50% of their wages paid. 

“This really doesn’t help you today, this program helps you in the future,” Schalow said in the meeting. 

The New Mexico Economic Development Department created a program that helps businesses receive emergency loans or credit, according to RR Observer. Loan proceeds are flexible and any business suffering from the impacts of the coronavirus pandemic are eligible for the loans. 

Economic injury disaster loans are for any small business, independent contractor or nonprofit that is suffering from the effects of the pandemic, according to RR Observer. But the business must have 500 or fewer employees to be eligible. 

The application for an economic injury disaster loan can be found on the SBA's website. 

According to RR Observer, more information on resources for businesses can be found at rrrcc.org/covid-19-toolkit/.