Although most federal funds related to the COVID-19 pandemic have been exhausted, small businesses in New York are still eligible to receive sizeable grants and credits created by Governor Hochul’s Executive Budget. Specifically, two NY small business programs currently offer small business owners upwards of $75,000 in grants and credits.
NY COVID-19 Capital Costs Tax Credit Program
The capital costs tax credit program is a $250 million program that allows small businesses to receive a maximum credit of up to $25,000 for qualifying expenses. The program is aimed at small, independently owned and operated businesses operating in New York with 100 or fewer employees and gross receipts that are less than $2.5 million.
Qualifying expenses include but are not limited to, the following expenses incurred between January 1, 2021 and December 31, 2022, and paid for on or before March 31, 2023:
- Disinfectant supplies and hand sanitizer stations
- Physical barriers and sneeze guards
- Air purifier systems installed at the business entity's location
- Signage related to COVID-19
- Certain point of sale payment equipment and online payment platforms to allow for contactless payment
- Heat lamps, outdoor lighting, and materials related to outdoor space expansions
NY COVID-19 Pandemic Small Business Recovery Grant Program
The NY pandemic small business recovery grant program, which includes grants up to $50,000 per eligible business, is still available for qualifying small businesses. Eligible businesses include those that had gross receipts between $25,000 and $2.5 million in 2019 or 2020 and experienced a 25% drop in gross receipts when comparing the year ended December 31, 2020 to 2019.
Eligible use of grant funds includes:
- Payroll cost
- Commercial rent or mortgage payments
- Property taxes
- Insurance cost
- Utility cost
- Cost of PPE
- Heating, ventilation, and air conditioning (HVAC) cost
- Machinery & equipment
How Can Withum Help?
Our dedicated team of Withum COVID relief experts has helped hundreds of organizations determine eligibility for a variety of COVID-related government relief programs. Contact a Withum team member to help determine if you are eligible to apply for these and other COVID-19-related relief programs.
For more information on this topic, please contact a member of Withum’s Business Tax Services team.