Raleigh, N.C. May 16, 2022 The N.C. Department of Revenue (NCDOR) continues to accept applications for Phase 2 of the Business Recovery Grant (BRG) program. Since the application process opened on May 2, the NCDOR has received more than 7,000 applications. BRG will issue a payment to an eligible North Carolina business that suffered an economic loss of at least 20 percent during the pandemic. The grant amount is a percentage of the economic loss demonstrated by the eligible business or $500,000, whichever is less. The application deadline is Wednesday, June 1. “The response to Phase 2 of the Business Recovery Grant program has been tremendous,” said Secretary Ronald Penny. “We are happy to see so many businesses apply because our goal is to give away every cent of the BRG grant funds to eligible businesses.” Many additional businesses qualify for the grants due to updates to the program’s eligibility criteria. In addition to COVID-impacted businesses in the hospitality industry such as restaurants and hotels, the BRG is open to all other business industries. Additionally, a business that received other COVID-19 relief may now be eligible for a grant in Phase 2. Approximately $200 million remains to be granted of the $500 million in American Rescue Plan funds appropriated for the program. Two types of grants are available to eligible businesses for Phase 2: A hospitality grant is available to an eligible arts, entertainment, or recreation business, as well as an eligible accommodation or food service business such as a hotel, restaurant, or bar (NAICS code 71 and 72). A reimbursement grant is available to an eligible business not classified in NAICS Code 71 and 72. Gross receipts reported on an expanded list of tax forms can be used to calculate an economic loss for Phase 2, making the BRG available to eligible sole proprietors, corporations, and other businesses that do not report gross receipts on Form E-500 or Federal Form 1065. This change may also allow businesses that primarily provide services to apply for a larger grant award during Phase 2. Eligible business owners may apply for Phase 2 online at https://www.ncdor.gov/business-recovery-grant. More detailed information and answers to Frequently Asked Questions is also available on the agency website. The program is being supported, in whole or in part, by federal award number SLRFP0129 awarded to the State of North Carolina by the U.S. Department of Treasury.