Hold the Old or Grab the New?
Rethinking the Game From Scratch
On June 5, 2020, the President signed legislation (H.R. 7010) radically overhauling the scope and mechanics of PPP loan forgiveness. Many of the bullets we were sweating will fall to the ground. But, which new ones will emerge?
The way we play this PPP forgiveness game must be rethought from scratch. [Rethink = To reconsider or involve oneself in reconsideration, especially profoundly.] The time for doing so is now. Regulations interpreting the new law are dropping and blowing out of the water what we thought we knew.
Review of the Paycheck Protection Program Flexibility Act of 2020.
– New 24 week forgiveness period blows 8 weeks out of the water
– New employee reduction safe harbor end game / uncertainties it creates
– How Form 3508 and Instructions must change
– Strategies turned upside down on their head
– Does this bail America out, create new headaches or both?
– What about PPP forgiveness changed and what did not?
– But, wait, what if I want to keep the old macabre rules?
– Shifted due date for the forgiveness application
– How the terms of new PPP loans change – But, what about existing loans?
Anyone looking for an update on the Paycheck Protection Program Flexibility Act of 2020.