President Biden has signed the PPP Extension Act of 2021. The new law extends the Paycheck Protection Program (PPP) application filing deadline from March 31, 2021, to May 31, 2021, thus providing potential PPP borrowers additional time to submit their applications. The law doesn’t provide the PPP with any additional funding. However, $7.25 billion…
Read MoreSpecifically, previous PPP recipients may apply for another loan of up to $2 million, provided they:
have 300 or fewer employees.
have used or will use the full amount of their first PPP loan…
On November 18, 2020, the IRS issued Revenue Ruling 2020-27 and Revenue Procedure 2020-51…
Read MoreThe Small Business Administration (SBA) may shortly be releasing two new questionnaires to be completed by borrower’s that received PPP loans with an original principal amount of $2 million or greater. These new “Loan Necessity Questionnaires” consist of…
Read MoreIn a significant new development, the SBA just announced that borrowers of PPP loans of $50,000 or less may use…
Read MoreIf your business was fortunate enough to get a Paycheck Protection Program (PPP) loan taken out in connection with the COVID-19 crisis, you should be aware of the potential tax implications…
On June 16, 2020, the U.S. Small Business Administration (SBA) released a revised loan forgiveness form (Form 3508). The revised form incorporated changes from the Paycheck Protection Program Flexibility Act which was signed into law on June 5, 2020. The new form incorporates…
Read MoreThe Senate has passed a House-approved reform bill, (H.R. 7010) The Paycheck Protection Program Flexibility Act (the "Act"), that makes major changes to the Paycheck Protection Program (PPP) created under the CARES Act. The President is expected to sign it into law. The most significant change is…
Read MoreThe IRS has issued guidance clarifying that certain deductions aren’t allowed if a business has received a Paycheck Protection Program (PPP) loan. Specifically, an expense isn’t deductible if both…
Read MoreThe IRS has released Notice 2020-32. In this Notice the IRS has determined that any otherwise deductible expenses incurred in a taxpayer's trade or business that are funded by Paycheck Protection Program ("PPP") loan proceeds are not deductible to the extent the loan proceeds…
Read MoreBusinesses that have or expect to secure a loan under the Payroll Protection Program should begin setting up a system to accumulate the information needed to apply for forgiveness of the loan after the eight-week, post loan origination period. The difficulty with that is no formal…
Read MoreAs Florida businesses rush to apply for Paycheck Protection Program loans, an unexpected cost of these loans was surfacing. The State of Florida imposes a documentary stamp tax on promissory notes…
Read MoreThe Paycheck Protection Program ("PPP") authorizes up to $349 billion in forgivable loans to small businesses to pay their employees during the COVID-19 crisis. All loan terms will be the same for everyone….
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