AICPA Proposes Relief for Small Businesses
March 24, 2020
By Ron Halse
In an open letter to President Donald J. Trump, U.S. Treasury Secretary Steven Mnuchin, Small Business Administrator Jovita Carranza and members of Congress, AICPA President Barry Melancon has called for immediate measures to avoid layoffs at small businesses due to the current COVID-19 business crisis.
In the letter, Melancon lays out a proposal and rationale for Congress and Treasury to consider:
- Unfortunately, the “direct payments” to individuals under consideration would likely be insufficient to keep the economy going.
- The AICPA is calling for the U.S. government to create a small business payroll fund to forestall or alleviate layoffs. This proposal is designed to avoid or mitigate layoffs affecting businesses with fewer than 500 employees. Estimates are this would cover up to 60,000,000 workers.
- The current payroll system could be used to compensate workers, allowing for rapid implementation.