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Maui Small Business Relief: Up to $20,000 Tax-Free Recovery Grants.

This Act establishes the Emergency Micro-enterprise Recovery Grant Pilot Program to aid small businesses, independent contractors, and non-profits on the island of Maui that suffered revenue losses after August 2023. Eligible entities can receive tax-free grants up to $20,000 to cover essential operating costs like payroll, rent, and equipment purchases. The goal is to provide rapid financial assistance to stabilize the local economy following the disaster.
Key points
Creates a grant program offering up to $20,000 for micro-enterprises, sole proprietors, and non-profits on Maui affected by revenue loss since August 8, 2023.
Funds can be used for maintaining payroll, purchasing materials, paying rent or mortgage, and covering obligations due to lost revenue.
The grants received are exempt from federal income tax, meaning recipients do not have to report them as taxable income.
The authority to award these grants will expire on December 31, 2024.
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Additional Information
Print number: 118_S_3151
Sponsor: Sen. Hirono, Mazie K. [D-HI]
Process start date: 2023-10-26