COVID-19 Relief Bill Addresses Key PPP Issues
by Jeff Drew, Journal of Accountancy | December 27, 2020
President Donald Trump on Sunday night (12/27/20) signed into law the $900 billion COVID-19 relief bill passed Dec. 21 by Congress.
According to an article in the Journal of Accountancy:
Trump had said he would not sign the bill because he wanted $2,000 stimulus checks for individuals instead of the $600 in the legislation. His signature Sunday came a day after unemployment benefits expired for millions of Americans and only hours before the federal government would have shut down due to a temporary funding bill expiring.
The legislation, the Consolidated Appropriations Act, 2021, adds $300 to extended weekly unemployment benefits, and provides more than $300 billion in aid for small businesses. It also ensures tax deductibility for business expenses paid with forgiven Paycheck Protection Program (PPP) loans, provides fresh PPP funding, makes Sec. 501(c)(6) not-for-profit organizations eligible for loans for the first time, and offers businesses facing severe revenue reductions the opportunity to apply for a second loan.
The COVID-19 relief package is tied to a $1.4 trillion resolution to fund the government through September 2021. The Senate approved the bill with a 92-6 vote at about 11:45 p.m. Dec. 21, just a couple of hours after the House approved it 359-53.
Read the full article to learn more about key provisions in the bill: