January 18, 2021

New PPP Guidance 1/6/21

On January 6, 2021, the U.S. Small Business Association (SBA) and the Treasury issued new guidance for the new Payment Protection Program (PPP).

The new guidance included two new interim final rules (IFRs) and discusses Second-Draw PPP Loans, First-Draw PPP Loans, PPP Loan Maximum Amounts, Eligible Costs, Simplified Forgiveness, and Minority, Underserved, Veteran, and Women-Owned Businesses.

Click here to read the full article published by the Journal of Accountancy.

Key PPP Issues 12/21/20

The U.S. Senate and House of Representatives overwhelmingly passed a $900 billion COVID-19 relief bill on December 21, 2020.

The legislation, the Consolidated Appropriations Act, 2021, also ensures tax deductibility for business expenses paid with forgiven Paycheck Protection Program (PPP) loans, provides fresh PPP funding, makes Sec. 501(c)(6) not-for-profit organizations eligible for loans for the first time, and offers businesses facing severe revenue reductions the opportunity to apply for a second loan.

Click here to read the full article published by the Journal of Accountancy.

Nondeductibility of PPP-Funded Expenses 11/18/20

In guidance issued Novembr 18, 2020, the IRS reiterated its position that taxpayers cannot claim a deduction for any otherwise deductible expense if the payment of the expense results in forgiveness of a Paycheck Protection Program (PPP) loan because the income associated with the forgiveness is excluded from gross income under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, P.L.116-136.

Click here to read the full article published by the Journal of Accountancy.

PPP Loan Forgiveness Applications Released 6/17/20

The U.S. Small Business Administration (SBA), in consultation with the Department of the Treasury, posted a revised, borrower-friendly Paycheck Protection Program (PPP) loan forgiveness application implementing the PPP Flexibility Act of 2020, signed into law by President Trump on June 5, 2020. The SBA also unveiled a new EZ application for forgiveness of PPP loans.

Click here to read more about this published by the Journal of Accountancy.

PPP Forgiveness Changes Coming As Senate Passes House Bill 6/4/20

The U.S. Senate passed the House version of Paycheck Protection Program (PPP) legislation, tripling the time allotted for small businesses and other PPP loan recipients to spend the funds and still qualify for forgiveness of the loans.

Click here to read the article published by Journal of Accountancy.

SBA Provides Safe Harbor for PPP Loans Under $2 Million 5/13/20

The SBA said the safe harbor will promote economic certainty for PPP borrowers with limited resources as they work to retain and rehire employees. The $2 million threshold also will help the SBA conserve its resources and focus its reviews on larger loans.

Click here to read the article published by Journal of Accountancy.

How to Record PPP Loan Activity 5/1/20

Click here to learn how to record your PPP loan activity in Quickbooks.

AICPA Applauds Clarity in Treasury FAQs on ´╗┐PPP 4/7/20

The AICPA and its small business funding coalition have been advocating for additional clarity on certain provisions of the PPP, and this FAQ is critically important to help facilitate the funding of small businesses. 

Click here to read the full article published by the Journal of Accountancy.

Employer Tax Credits Form 4/2/20

The Internal Revenue Service has issued a form and draft instructions for employers to use to obtain advances of three tax credits enacted in response to the coronavirus pandemic: the employee retention credit, the qualified sick leave credit, and the qualified family leave wages credit. All of them are offset against a business' payroll taxes.

Click here to read the full article published by the Journal of Accountancy.

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