Ask Your Legislators to support small businesses in next COVID-19 package
Ask your Senators to include small business-focused access to tax-free federal support in the next COVID-19 legislative package.
In the laws enacted this spring, Congress created and modified the Paycheck Protection Program (PPP) in order to support not only the health care industry but also small businesses which are the engine of the economy.
Regulations established have determined that recipients of PPP loans will not be able to deduct forgiven business expenses and that the Provider Relief Fund dollars they received will be taxed as income. This regulatory position can only be overridden by Congress. PPS has been lobbying Members of Congress and Congressional leadership to fix both of these issues as well as to intervene to prevent the looming 8% cut to reimbursement that CMS is planning.
Now is the time for your legislators to hear directly from you—their constituents—about what they need to do to support you, your employees, and your small business.
PPS is providing you an opportunity to reiterate the APTA-wide priorities of preventing the 8% cut and the extension of telehealth coverage through the end of 2021 as well as highlight small business-specific priorities for upcoming legislation. Use this template to thank your legislators for setting aside the provider relief funds as well as creating and modifying the PPP while also being clear about the need to provide tax relief in the next legislative response to COVID-19 in order to make sure those economic supports are truly tax-free and provide the maximum impact. PPS is also advocating for small businesses to be able to apply for a second PPP loan.
If you are on social media, follow up your request with a tweet or facebook post tagging your legislator and using #PPSAdvocacy. Template tweet: “PPP and Relief Funds are a lifeline for my small business, but taxing them diminishes the impact. Please fix this in the next COVID package. [@Rep/Senator twitter handle] #PPSAdvocacy”
New to engaging with your lawmaker or need a refresher? Check out these tips for advocacy. For information on PPS’s legislative priorities and activities, visit the Advocacy section at www.ppsapta.org
Thank you. Together we can make a difference!
Subject line: PPP and Relief Funds are a lifeline, but taxing them diminishes impact. Please help.
Dear Representative/Senator __________,
Thank you for passing legislation this spring to give healthcare providers and small business owners access to much-needed capital. As a small business owner who has received a PPP loan and a provider relief fund grant, I am truly appreciative. Without these funds, I might have had to close my doors already.
I am a physical therapist in private practice and a member of the Private Practice Section of the American Physical Therapy Association. Along with the therapists and support staff I employ in your district, my outpatient clinic is a vital small business and an important part of our local economy. The laws enacted in response to the COVID-19 crisis (including allowing Medicare coverage of telehealth) have helped us to keep serving our community despite the public health emergency and have enabled us to continue to provide our patients with access to safe, quality care.
As you consider what should be included in the upcoming COVID-19 relief package, please act to maximize the economic impact of federally allocated funds. Access to truly tax-free grants at this time is critical for my business and those I employ. In order to do so please include the following legislative fixes that will support small businesses who are also healthcare providers:
- Allow tax-free forgiven PPP expenses to also be deductible business expenses—in line with the Congressional intent of the CARES Act.
- Override the IRS guidance which stated provider relief fund grants are taxable so that these grants will be tax-free and more effective tools to reimburse providers for healthcare related expenses or lost revenues attributable to COVID-19.
- Allow small business owners to apply for a second round of PPP loans.
Thank you ahead of time for supporting legislation that will override these IRS rulings and provide much-needed, continued support for small businesses as well as responding to the APTA priorities of preventing the looming 8% cut to physical therapists under the Medicare Physician Fee Schedule and extending telehealth waivers through the end of 2021.
Member, Private Practice Section of the American Physical Therapy Association
[Practice phone number]