COVID 19 Update 31
Call with Senator Schumer
Our Partners at Hudson Valley Economic Development Corporation will be hosting a video chat with Senator Chuck Schumer to answer your questions and discuss some of the recently passed federal legislation related to COVID-19.
These are very challenging times for businesses in the Hudson Valley. HVEDC and the Council of Industry want to fight for the best possible outcomes for you and your employees. We look forward to hearing from you.
- Video-chat meeting
- Tuesday (4/14) at 10:00 AM
Please click the link below to register for the video-chat.
HVEDC will send out the video link once registration is completed.
Your Input: Industrial PPE Needs
We have heard from many of you that industrial access to PPE is a challenge at some of the most basic levels. Due to COVID-19, product demand has increased across all sectors, especially for manufacturing. The NAM is looking for ways to better measure the anticipated demand and to increase access to supply and want to make a strong case to the federal government to help support industrial access to PPE, especially for industries that support critical infrastructure.
The NAM Response Team would appreciate receiving a short summary that categorizes your PPE needs. In addition, please provide a sense of how long your supply will last and the impact to your business if you don’t access new supply. And if you have done something creative to enhance your supply, we’d appreciate that information, too. NAM members are eager to learn best practices to remain open and operational during this period of uncertainty.
You can send them to hking@councilofindustry.org or contact the ResponseTeam@nam.org directly with the requested information.
The IRS has Issued Guidance for the CARES Act’s Net Operating Loss (NOL) Carryback Provision and Announced a New Delay in Tax Filing Deadline
The valuable NOL provision allows your company to use tax losses from 2018, 2019 and 2020 to offset income from the prior five years. The new tax deadline extension builds on prior IRS guidance and now allows you to delay certain estimated tax payments. Per the IRS, “any individual or corporation that has a quarterly estimated tax payment due on or after April 1, 2020, and before July 15, 2020, can wait until July 15 to make that payment, without penalty.”
Here is the press release on the IRS action Here is the guidance document
Updated Guidance and Exemptions for PPE Exports
U.S. Customs and Border Protection has released an updated memorandum on FEMA’s temporary final rule that requires explicit approval to export five types of personal protective equipment. This memorandum includes additional exemptions to the rule, including exports by critical infrastructure industries for the protection of their workers and shipments under 10,000 units or under $2,500 in value. Other exemptions include exports of PPE to Canada and Mexico, exports to U.S. government entities, shipments already in transit and more. This rule became effective April 7 and is in place through Aug. 10.
CARES Act Manufacturing Impacts
Our Friends and Associate Members JGS CPA have shared this terrific document on the all the impacts on manufacturing in the CARES Act. “The stimulus is good news for manufacturers, many of whom are struggling given the current economic circumstances and stand to benefit financially from the package. However, the CARES Act also includes restrictions and responsibilities that manufacturers need to be aware of, especially manufacturers that produce supplies related to the healthcare industry, including ventilators, products like Personal Protective Equipment (PPE) and hand sanitizer, and medication.
JGS BDO Summary of manufacturing related provisions in the Cares Act 04102020
For Those Interested in a Deeper Dive – A Corporate Survival Guide…
The Economist: The Coronavirus Crisis Will Change the World of Commerce
Once exits from lockdowns start and antibody testing ramps up, a new, intermediate phase will begin (see article). Firms will still be walking, not running (China is still only functioning at 80-90% of capacity). Ingenuity, not just financial muscle, will become a source of advantage, allowing cleverer firms to operate closer to full speed. That means reconfiguring factory lines for physical distancing, remote monitoring and deep cleans. Consumer-facing firms will need to reassure customers: imagine conferences handing out n95 masks with the programme, and restaurants advertising their testing regimes. Over a quarter of the world’s top 2,000 firms have more cash than debt. Some will buy rivals in order to expand their market share or secure their supply and distribution.
