On March 23, Iowa Governor Kim Reynolds announced a new Iowa Small Business Relief Program that will provide financial assistance to small businesses and tax deferrals to any Iowa businesses that have been economically impacted by the COVID-19 pandemic. This has been described by the state as a stop gap measure to provide temporary assistance until the Federal assistance can be made available.
The program offers eligible small businesses grants ranging from $5,000-$25,000 in addition to offering Iowa businesses a deferral of sales and use or withholding taxes due and waiver of penalty and interest.
To be eligible for a small business relief grant, eligible businesses must:
- Be experiencing business disruption due to the COVID-19 pandemic
- Have employed between 2-25 people prior to March 17, 2020
The funds may not be used to pay debts incurred before March 17, 2020. Grants will be reviewed by the Iowa Economic Development Authority, and grant amounts will be determined by the level of impact including loss in sales revenue and employees. Notification of award and disbursement of grant funds will be expedited.
Applications will be available on their website (https://www.iowaeconomicdevelopment.com/default.aspx) on Tuesday, March 24, at 8 a.m. The application deadline is Tuesday, March 31 at 12 p.m.
For questions or assistance, contact your account manager.