Pritzker outlines relief plans for businesses affected by COVID-19 fallout

Illinois Gov. J.B. Pritzker announced a series of new measures Thursday to help small businesses in the state that have been hit hard by the fallout in response to the COVID-19 outbreak.

The governor said in his daily coronavirus briefing that he's directed the Department of Revenue to defer sales tax payments for more than 24,000 small- and medium-sized bars and restaurants.

Under the directive, eating and drinking establishments that incurred less than $75,000 in sales tax liabilities last year will not be charged penalties or interest on payments due in March, April or May made late.

The Department of Revenue estimates the move will give relief to nearly 80% of bars and restaurants in Illinois.

Penalties and interest will be automatically waived. However, qualified taxpayers must still file their sales tax return even if they are unable to make a payment. Taxpayers taking advantage of the relief will be required to pay their sales tax liabilities due in March, April and May in four installments starting on May 20 and extending through Aug. 20.

More information is available on IDOR's informational bulletin at tax.illinois.gov.

Pritzker also said the U.S. Small Business Administration has approved the state's eligibility for disaster assistance loans for small businesses facing financial hardship in all 102 counties due to COVID-19.

Eligible businesses can apply for up to $2 million in low-interest loans at: https://disasterloan.sba.gov