On May 28, 2020, the House of Representatives passed the Paycheck Protection Program Flexibility Act, nearly unanimously (417-1). Most importantly this bill would extend the forgiveness period for PPP funds from 8 weeks to 24 weeks. Though the final time period is unknown, it appears very likely that the Senate will take up legislation that [...]
On May 15th the SBA issued the Paycheck Protection Program (PPP) Loan Forgiveness Application and instructions. This provides the forms borrowers need to apply for forgiveness of their PPP loans as well as the documentation lenders are required to collect from borrowers. Generally, a borrower can apply to have certain payroll and nonpayroll costs forgiven [...]
On May 11th, 2020, Julie Welch, Steve Browne, Cara Smith, and Preston Herman recorded a webinar titled “PPP Loan Forgiveness & Business Interruption Claims”, which is available for free to all members of the Missouri Bar Association via rebroadcast on May 26th, 2020 and immediately for self-study at the below link. The webinar is a [...]
The May 14th safe harbor deadline (extended from the original date of May 7th) to repay Paycheck Protection Program (PPP) loans was extended until May 18th (SBA FAQ #47 issued 5/13/20). This extension is to give borrowers an opportunity to review and consider FAQ #46. See our blog post Good Faith Certification for PPP Loans. [...]
With the upcoming May 14th safe harbor deadline (extended from the original date of May 7th) to repay Paycheck Protection Program (PPP) loans, borrowers have been toiling with the documentation necessary to establish good faith representations on loan applications and the certification that “current economic uncertainty makes this loan request necessary to support the ongoing [...]
On April 30th, the IRS issued Notice-2020-32, stating the position that expenses funded by forgiven loan proceeds under the Paycheck Protection Program (PPP) are not tax deductible. The CARES Act did not specifically address whether generally allowable deductions would still be permitted if the loan was later forgiven, but the act and public officials’ comments [...]
On April 14th, 2020, Julie Welch, Steve Browne, Cara Smith, and Preston Herman recorded a webinar titled “CARES Act Cash & Business Interruption” which is available for free to all members of the Missouri Bar Association via rebroadcast on April 27th, 2020 and immediately for self-study at the below link. The video recording, PowerPoint presentation [...]
Phase 3 of the COVID-19 stimulus package (the CARES Act) was just signed by President Trump. The CARES Act includes several income tax provisions that attempt to lessen the impact and encourage individuals and businesses to keep putting money back into the economy. See https://mwbpc.com/the-cares-act-business-highlights/ for the business highlights of the CARES Act. Business [...]
Phase 3 of the COVID-19 stimulus package (the CARES Act) was just signed by President Trump. This legislation is unprecedented in both size and scope. It is clear that the Federal government is pulling every lever possible to mitigate the economic ramifications of the coronavirus pandemic. It appears Congress is opening every liquidity spigot at [...]
As the COVID-19 global pandemic continues to alter society in unprecedented ways, it has become evident that, while necessary, the steps being taken by government officials to minimize the human lives lost will result in a severe economic contraction. What is unclear is the scope of those costs. Federal, state and local governments have already [...]