Tag: loans
UPDATED PPP essentials for small business owners: Qualifying Expenses, Forgiveness, and Recent Changes
It’s been several months now since many small business owners have received and spent their Paycheck Protection Program (PPP) loan awards, and many businesses are now ready to start the forgiveness process. But SBA rules and legislation have significantly changed...
PPP loan forgiveness application is released, with guidelines to help borrowers calculate qualified expenses
The Paycheck Protection Program (PPP) brought many small business owners a much-needed lifeline during the pandemic to help cover payroll and other business expenses during an 8-week period. Now that PPP funds have been distributed, loan recipients must begin tracking qualified...
PPP guidance on loan forgiveness and laid-off employees who refuse to be rehired
The SBA added Guidance in its FAQs document (Question #40) indicating that the SBA and Treasury intend to issue an interim final rule that businesses who receive Paycheck Protection Program (PPP) loans can exclude laid-off employees from their loan forgiveness reduction calculations for...
Borrowers with PPP loans below $2 million will have “need” automatically certified
The SBA and Treasury issued some good news today for borrowers participating in the Paycheck Protection Program (PPP) concerned about the required certification that “the uncertainty of current economic conditions make necessary the loan request to support the ongoing operations of the eligible applicant.”...
Certifying Economic Need for PPP Loans and Extension of Safe Harbor Repayment Date
On April 23, 2020, the SBA issued FAQ #31, cautioning PPP borrowers that they need to review the required certification that “the uncertainty of current economic conditions make necessary the loan request to support the ongoing operations of the eligible...
Pandemic relief programs for businesses
**Federal and state programs created in response to the COVID-19 pandemic are changing fast, and updates will be made here as more information is made available and are current as of the publishing date.** The ShindelRock tax professionals have been...
Three things business owners should do after receiving a Paycheck Protection Program (PPP) Loan
The $349 billion Paycheck Protection Program, or PPP, is expected to receive its second tranche of new funding later this week. This should mean more small businesses, many of whom already have an application in queue with their business banking...
New pandemic relief lending program for larger businesses: the Main Street New Loan facility
The Main Street Lending Program, a newly created program by the Federal Reserve, will enhance support for small and mid-sized businesses that were in good financial standing before the COVID-19 crisis by offering 4-year loans to companies employing up to...
Tax laws regarding interest charged on loans and installment sales
There are tax laws, specifically two code sections, requiring that minimum interest rates must be charged for transactions involving loans, or sales of property, between taxpayers. These are Internal Revenue Code Section §483 and Code Section §1274. Code section 483 covers any...
SR Client Question: Can I deduct a bad debt to a family member?
It happens, your relatives ask to borrow some money, and you, against your better judgment, loan them the money….. It is not unprecedented that some (ok, most) of these loans do not get paid back. When loans among family members...