Post Date: 03/24/2021 11:23 am
By a unanimous vote of the City Council on Tuesday, March 23, Newport Beach will waive annual business license taxes for businesses within the City that were forced to close during the COVID-19 pandemic by order of the State.
The one-year waiver applies for business license tax renewals processed between April 1, 2021 and March 31, 2022.
The temporary tax waiver is one of the ways the City is helping support local businesses as they begin to emerge from the pandemic, said Mayor Brad Avery. In addition to the waiver, the City has administered several small business grant programs and launched a marketing support partnership with Newport Beach and Co.
“The Council is looking carefully at everything we can do to help Newport Beach businesses get back on their feet after such a difficult and challenging year,” Avery said. “We hope that waiving business license fees for one year will provide some measure of relief.”
The waiver will apply to about 1,850 “commercially based” businesses, of 9,000 such businesses in Newport Beach (about 25,000 businesses have City permits, including home-based businesses and those doing business in the City but located elsewhere). Commercially based businesses include retail stores, hair and beauty shops, gyms and fitness centers, restaurants and bars, museums and art galleries, and private schools.
The program is expected to result in a revenue loss to the City of about $660,000 and cost about $7,000 in State fees, both of which will be offset through a prior year budget surplus.
To qualify, a business would have had to close at least once during the pandemic and could not offer its services virtually.
Applications will be accepted between Wednesday, February 10 at 8 a.m. and Wednesday, February 17 at 5 p.m. The application and program guidelines are available at www.newportbeachca.gov/supportgrants.
The application period to apply under the California Small Business COVID-19 Relief Grant Program Second round of funding opens until February 2 through February 8th, 2021.
Depending on a business’ revenues, small businesses, including 501C(3) and 501C(6) non-profits, will be eligible for grants from between $5,000-$25,000.
The application process is fairly simple and applicants will be scored in order to determine their eligibility for the grants. A second round of grants will occur at date to be determined in the future but only one application needs to be filed in order to be considered in the second round if a business does not receive a grant in the first round.
SMALL BUSINESS RESOURCES
SBA’s Economic Injury Disaster Loan program
Effective immediately, Orange County small businesses affected by COVID-19 are eligible for this SBA Loan.
Paycheck Protection Program: An SBA loan that helps businesses keep their workforce employed during the Coronavirus (COVID-19) crisis.
Orange County – Economic & Business Recovery Call Center
The Economic & Business Recovery Call Center will offer information and resources to help Orange County businesses navigate the current economic climate. These resources will support businesses with challenges such as lay-off aversion, loans, utility reduction programs, and community resources mapping. Businesses can call the Economic & Business Recovery Call Center at (714) 480-6500 during hours of operation Monday to Friday from 8 a.m. to 5 p.m.
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