Governor announces immediate tax relief for small businesses
CARPINTERIA, Calif. - During a COVID-19 update on Monday, California Gov. Gavin Newsom announced immediate relief funds in the form of sales tax extensions.
The plan offers an automatic 3-month extension for taxpayers with less than a $1 million in sales tax.
It also expands interest free payment agreements to larger companies with up to $5 million in sales tax.
Newsom said the plan is intended to help industries heavily impacted by restrictions to prevent the spread of the virus.
The owners of Reynaldo's Bakery in Carpinteria welcome the idea.
Diane Cardenas said she was too busy working to listen the governor's announcement, but she cheered the plan.
Other business owners including Mike Lemos of Lemos Feed and Pet Supply said he would rather pay as he goes.
He compared it to an interest free loan.
Sal Lucido agrees. The owner of Island Outfitters on Linden has a half-off sale going on as he prepares to retire on January 1. Lucido said his retirement has nothing to do with the pandemic.
Lucido said he won't take advantage of the deferred sales tax payments, but he understands how it could help businesses on the verge of closing due to the coronavirus.
