COVID -19 UPDATES

We hope that you are keeping yourself, your loved ones, and your community safe from COVID-19 (commonly referred to as the Coronavirus). Along with those paramount health concerns, you may be wondering about some of the recent tax changes meant to help everyone coping with the Coronavirus fallout and we are here to help and keep you informed:

Below are links to COVID - 19 tax legislation and updates:

Welcome to Deluzio & Company, LLP

We are a full service accounting firm dedicated to our clients, providing quality service with a quality team to assist your company with long term growth and stability. We provide a wide array of services to help you grow and sustain your business.

Our team is built to serve you, specializing in a multitude of areas permitting us to better serve our clients.

We aren’t just any accounting firm. We pride ourselves on quality, experience and drive to help you grow your business. Our greatest success is your success.

Please contact us to discuss those services to help you and your business. Or Click Here to learn more about us.

Updates to SBA PPP Loan Forgiveness/Repayment

6/25/2020

Updates to SBA Paycheck Protection Program Loan Forgiveness/Repayment

~ Author - Tawna Stahl,  Deluzio & Company, Para-Professional ~

{Picture description} src=

On June 5, 2020 President Trump signed into law the Paycheck Protection Program Flexibility Act of 2020 that amended the Payroll Protection Program (PPP) giving borrowers more “flexibility” for forgiveness and /or repayment of their PPP Loans.

The Flexibility Act provided the following changes to the program:

  • Borrowers can now use a 24 week covered period to spend their loan proceeds rather than the original 8 weeks.
  • The original 75% payroll spending requirement was reduced to 60%.
  • There are two exceptions that allow full forgiveness even without fully restoring their workforce.
  • A new simplified forgiveness application has been released by the SBA. Updated PPP Forgiveness App
  • Any amounts not forgiven can now be repaid over 5 years instead of 2.
  • Payment of certain payroll taxes can be delayed even for businesses who received a PPP Loan.

In addition, on June 22, 2020 the SBA released new guidance to clarify the amendments made with the Flexibility Act:

  • Borrowers can apply for forgiveness during the 24 week covered period
  • Owners (includes S or C Corporation shareholders) forgiveness that was limited to $15,385 of their 2019 compensation for the 8 weeks increases to $20,833 of the relative compensation for the 24 week period.
  • Additional exemptions were included relative to the inability to hire similarly qualified employees and for the inability to operate due to government restrictions.

If you have any questions or would like to discuss the impacts of these changes to the Paycheck Protection Program on your business, please feel free to contact us.