New Stimulus Update Ppp

The consolidated appropriations act of 2021 has been signed into law by the president.

New stimulus update ppp. The second largest federal stimulus package of 2020 provides 900 billion in covid relief. This ppp round adds 284 billion in new forgivable loan funds to the 525 billion already distributed. When congress passed the cares act lawmakers indicated that ppp funds should not be taxable.

New round of ppp funds whether or not you ve received ppp before you can apply for a new ppp forgivable loan whether or not. Finally and most importantly congress must pass the next stimulus package as soon as possible. Ppp borrowers can set their ppp loan s covered period to be any length between 8 and 24 weeks to best meet their business needs.

Ppp and stimulus update consolidated appropriations act 2021 part 2 as noted in our prior update the u s. The following summarizes the paycheck protection program ppp 2 provisions of the new stimulus law. Second stimulus act revives ppp loans.

Expenses used for ppp forgiveness are now tax deductible. The small business administration sba has 10 days to issue guidance on the application process. The ppp was always meant to be a bridge for small businesses to ride through the worst of the pandemic.

Read our full breakdown below. Rosenberg associated press. The revisited ppp comes complete with a new set of eligibility requirements the first of which being that businesses with more than 300 employees need not apply.

An additional 300b in funds to the u s. On october 8 2020 the sba along with the treasury department issued new guidance allowing borrowers with ppp loans of 50 000 or less to self certify they used the money appropriately and. Ppp loans will cover additional expenses including operations expenditures property damage costs supplier costs and worker protection expenditures.