by SKDOLast night at 11:30pm, the SBA issued their latest 2 interim rules. One of them is intended to govern new PPP loans made under the Economic Aid Act as well as applications for loan forgiveness on existing PPP loans where the forgiveness payment has not been remitted. It DOES NOT alter or affect the requirements […]
by SKDOLate Sunday night, the President signed H.R. 133, which contained a number of COVID-19 relief provisions that taxpayers have been anxiously awaiting. The Act is 5500 pages long, so we’ve summarized some of the major highlights for you below. Paycheck Protection Program (PPP) Provisions Allows a deduction for any expense used to forgive your PPP loan. Now, the loan really is non-taxable. Makes the following expenses allowable […]
by SKDOLast week, the IRS and Treasury came out with regulations that confirmed there would be no tax deduction for any expense used to forgive Borrower’s PPP loans. The new regulations went on to say that the income will need to be reported in the current tax year if the Borrower reasonably expects that the loan […]
by SKDOWith the release of Form 3508S, a simplified PPP forgiveness application for loans under $50,000, we thought it would be helpful to record a short video explaining who exactly qualifies for this new application and how to fill it out. The application is very easy, so you may find you can fill it out on […]
by SKDOLast night, the SBA issued a new FAQ related to the extended due date of borrowers’ first PPP loan payments. Originally, the first PPP payment was only deferred for 6 months. Many borrowers have made it through their entire 24 week Covered Period at this point and may be wondering whether they need to abide […]
by SKDOLast night, the SBA issued an interim rule relating to “owners” and the PPP. Below are the three main takeaways from the new guidance: A definition for “owner-employee” was finally provided. For PPP purposes only, an “owner-employee” is anyone who owns more than 5% of an S- or C-corporation. The amount of loan forgiveness requested […]
by SKDOLast week, the SBA issued a set of FAQs regarding PPP Loan Forgiveness. The list contained some new information but did not address some of the most important questions Borrowers have, like what the reduction factors and wage limitations look like if borrowers apply for forgiveness before the full 8 or 24 weeks are up. […]
by SKDOThe SBA issued 2 new sets of guidelines on June 23 and 24th that have provided some of the answers we’ve been waiting for. We’ve summarized the main points below. Submitting an application—The SBA has stated that a borrower may apply for forgiveness at any point during their 8- or 24-week covered period. The deadline […]
by SKDOWithin the last week, the SBA has issued a number of new documents regarding PPP Loan Forgiveness, including an “EZ” version of the forgiveness application and some of the clarifications we had been hoping for. We have summarized the main points below. Owner-Employee: While the SBA still has not defined the term “owner-employee,” it did […]
by SKDOAfter business hours on Wednesday June 10th, the SBA issued their latest guidance on the PPP. Unfortunately, it didn’t answer many of the questions we had in our last post, but it did mention that they are working on revising their previous guidance and updating their application to conform with the Paycheck Protection Program Flexibility […]