PPP Stimulus Update – December 4, 2020
As of today, there are three separate bills in Congress addressing a second round of stimulus, including language regarding the deductibility of PPP expenses, simplified forgiveness for PPP loans less than $150,000, and PPP Round 2. We are staying on top of the legislation and will be sharing significant updates as they happen. Please note, as known by the AICPA, the timing of passage of one of these bills will not be any earlier than Dec 9th – 11th, with the potential to slip to Dec 18th.
Does your business need a PPP2 Loan?
We do not have any final details, but some of the initial requirements discussed for this second round of loans, if passed, will be available for businesses with a 25-35% decrease in gross revenue with less than 300 employees based on several tests. This 2nd round of loans will focus mainly on the loan as “necessary to support the operations of the business.” Therefore, some of those businesses that qualified for the first round may not meet the requirements for this 2nd round.
Again, there are still many unknowns, so as we receive updates, we will pass them via our email distributions and post them to the blog.