$200 million now available to NC businesses for pandemic losses

State lawmakers last year set aside $500 million for the program, aimed at helping the hospitality industry and other businesses that suffered losses due to the pandemic.

NCDOR public engagement officer Will Futrell said the second round of grants includes expanded eligibility for businesses that may have been turned down in the first phase.

“If you were ineligible in Phase One, or if you think you might be eligible for Phase Two, I really encourage you to go to our website and to read all the information we've got there,” Futrell told WRAL News.

“It's our goal to get every cent of money out from these programs to every single eligible North Carolina business that needs it,” he added.

Also, many businesses that could otherwise have received funding did not use the specific type of tax forms – the IRS Form 1065 and the state U-500 – the program required as proof of losses.

Hospitality businesses that had received other assistance could apply, but would qualify for smaller grants than those that had not. Those smaller grants accounted for the bulk of the grants in the first round.

In the first phase, the NCDOR issued more than 3,400 checks to businesses. However, more than 3,000 others were deemed ineligible.

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According to Futrell, the second round of grants will no longer exclude businesses who received other relief funds.

The program also will now accept many other types of tax forms, including the state 1120 and 1120S and the IRS Form 1040 Schedules Cs and Fs, as proof of gross receipts. That change expands eligibility to types of businesses left out of the first round, like farmers, sole proprietorships and corporations.

“It essentially opens up the program to all industries. So just about any business, as long as you're in North Carolina, you may be eligible,” Futrell said Monday.

According to Futrell, even businesses that already received a grant in round one could be eligible for more funding in the second round if they have additional losses they can demonstrate using the expanded list of tax documents.