More Tax Legislation Updates aka More Money for Businesses
On Tuesday, April 21, 2020, the Senate approved $310 billion in additional Paycheck Protection Program (“PPP”) funds and another $50 billion in the Economic Injury Disaster Loan (“EIDL”) program. There is also another $10 billion for the small business grants of up to $10,000 ($1k per employee) that act as advances on the EIDL program.
As we have communicated over the last three plus weeks, these programs are vital for many small businesses. We know that many of you have already applied and received money through the PPP process. If you have not, we strongly recommend that you start getting your application and supporting documentation to your financial institution. We expect that the House will pass the additional funding later this week, and the legislation to be signed by the President. It is conceivable that banks and credit unions can start taking more PPP applications as soon as Friday of this week.
EDITOR’S NOTE: House passed it on April 23, President Trump signed into law on April 24, and the PPP application process re-started on April 27.
Presumably, the EIDL applications, which are done through the SBA website and not your financial institution, could start accepting applications on that same time frame this week.
The first $349 billion of the PPP funding lasted just 12 days, so we would expect this tranche of money to be depleted even quicker. So please, if you are on the fence or missed out the first time, start getting your information together.
If you need help from JMF, please email our team at PPP@JMF.com.
Paycheck Protection Program Self-Help