While recent times have been filled with unpleasant news and numbers, it doesn’t mean we should overlook the unprecedented opportunities that are presented to us.

We are all familiar with the recent stimulus check, so there is no need to reiterate it here. However, if you are an employer or a contractor, you may have an opportunity to obtain $10,000 in grants and more in PPP loans, both of which can easily be converted into free money. In addition, there is a never-before-seen $100,000 cash out from IRAs and 401Ks that does not incur a 10% penalty. Instead, it can be seen as income distributed over three years.

The IRS has rescinded its decision on net operating loss carryback rules for small business owners. You are now allowed to carry back your business losses incurred in 2018, 2019 and 2020 five years. For example, losses from 2018 can be taken back to 2013. This should be taken as another way to generate more spare capital.

We expect our government to establish more relief efforts as COVID-19 continues to affect small businesses. The California Public Accountancy Corp will provide you with updated information as it becomes available.