Alas, the SBA released on May 15, 2020 the Paycheck Protection Program (PPP) Loan Forgiveness Application along with detailed instructions. The application and its instructions address some of the questions that have to this point remained unanswered. Notably, the instructions include the following which seem to provide some clarification and flexibility in calculating the forgiveness amount:Read More
The IRS has issued guidance regarding the tax treatment of expenses paid with funds received via the Paycheck Protection Program (PPP). IRS Notice 2020-32 was issued on April 30, 2020 and specifically states that no tax deduction will be allowed for expenses that result in the forgiveness of a PPP loan.Read More
On April 14, 2020, the SBA issued an updated “interim final rule” and updated its FAQs relative to the Paycheck Protection Program. The updated interim final rule provides detailed guidance primarily for self-employed individuals who file Schedule C with their 1040. The guidance provides the detailed steps necessary to calculate the maximum loan amount for those with self-employment income from Schedule C on Form 1040.Read More
On April 9, 2020, the IRS issued two key pieces of guidance pertaining to the net operating loss (NOL) provisions of the CARES Act.
Revenue Procedure 2020-24
This revenue procedure provides procedures to follow regarding net operating losses that are carried back under the CARES Act, specifically procedures for:Read More
To help taxpayers, the Department of Treasury and the Internal Revenue Service announced today that Notice 2020-23 extends additional key tax deadlines for individuals and businesses. Last month, the IRS announced that taxpayers generally have until July 15, 2020, to file and pay federal income taxes originally due on April 15. No late-filing penalty, late-payment penalty or interest will be due.Read More