04/03/2020

ASAE Calls for More Association-specific COVID-19 Relief

Nearly 3,000 organizations ask Congress for aid to trade and professional associations

On April 2, OSAE, ASAE and nearly 3,000 other associations across the United States called on Congress to provide additional aid for trade and professional associations affected by the COVID-19 pandemic.

Last week, Congress passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act, a $2.2 trillion bill that provides relief for individuals, small businesses, corporations, hospitals, state and local governments and 501(c)(3) nonprofit groups, but does little to assist trade and professional associations experiencing severe revenue losses during the current crisis. Many associations have had to cancel large meetings, tradeshows and other in-person events due to the pandemic, and others are experiencing the same operational shortfalls that have befallen large and small businesses in recent weeks.

The sign-on letter points out the few options afforded to 501(c)(6) groups and other associations in the CARES Act. Just two provisions in the CARES Act apply for 501(c)(6) associations: an employee retention payroll tax credit available to businesses that have seen at least 50 percent reduction in revenue in the first quarter of 2020 compared to the first quarter of 2019, among other qualifying conditions; and emergency Economic Injury Disaster Loan (EIDL) grants that can be used for payroll costs, rent or mortgage payments or repaying obligations that cannot be met because of revenue losses.

Please select this link to read the complete article from Associations Now.