PPP Webinar: Preparing for a potential audit, determining maximum loan forgiveness, and understanding the changes included in the PPP Flexibility Act (H.R. 7010)
The Paycheck Protection Program (PPP) has been the most popular aspect of the CARES Act. Yet the rules of the PPP game seem to be ever-changing, resulting in confusion and frustration from small businesses all over the country. Most recently, the U.S. House passed the Paycheck Protection Program Flexibility Act on the afternoon of May 28. Businesses that received loans and were approaching the 8th and final week of eligible spending may now be granted an additional 16 weeks to pay eligible forgiveness costs, among other changes.
One of the most attractive features of the PPP loans is that they may be forgiven in part or in whole, depending on a number of factors. Whether you already have a PPP loan or are now applying, you should be determining NOW how much of your loan may be forgivable and what you need to know in order to survive a potential SBA audit. The SBA has recently issued a forgiveness application form as well as its interim final rules regarding loan forgiveness and the SBA loan review process. Join us as we explore how to navigate the loan forgiveness landscape, including the following:
- An overview of the PPP Flexibility Act.
- Latest SBA rules and guidance.
- The certification safe harbor for loans under $2,000,000.
- How to prepare for a potential SBA audit.
- How to get ready to apply for forgiveness.
- Types of expenses eligible to include in loan forgiveness and the period for measuring them, including “hazard” pay.
- What the 75% rule means, how to apply it, and how it might be changing.
- How workforce reductions and pay reductions in the calculation period may reduce the amount forgiven.
- What happens to any portion of the loan that is not forgiven.
- How loan forgiveness affects payroll tax deferral.
If you participated in our earlier CARES Act webinars, this session will provide important updates, but even if you did not, it will give you information you need to know if you intend to apply for loan forgiveness.
Click here to download a copy of the presentation.
Click here to watch the recording on YouTube.
Please direct inquiries to Jonathan Spencer at spencer@butzel.com.
