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- Act 1 of 2021 (SB 109) that was signed into law by the Governor on February 5, 2021 states that Paycheck Protection Plan (PPP) loans used to pay business expenses during the COVID-19 pandemic that are subsequently forgiven by the lender are not taxable income for Pennsylvania personal income tax purposes.
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Oct 28, 2020 · Act 1 of 2021 (SB 109) that was signed into law by the Governor on February 5, 2021 states that Paycheck Protection Plan (PPP) loans used to pay business expenses during the COVID-19 pandemic that are subsequently forgiven by the lender are not taxable income for Pennsylvania personal income tax purposes.
Feb 11, 2021 · On February 5, 2021, Governor Wolf signed into law Act 1 of 2021 (SB 109), which, among other things, provides clarity and relief for Pennsylvanians who received Paycheck Protection Program (PPP) funds. It was made clear the forgiveness of a PPP loan will not result in Pennsylvania personal taxable income.
Feb 9, 2021 · State lawmakers passed legislation that ensured that federal Paycheck Protection Program (PPP) loans that have been forgiven would be exempt from state personal income tax (PA PIT).
Included in this bill is a second stimulus package for businesses with a top up of the Paycheck Protection Program (PPP). Whether you’re applying for a first draw PPP loan or a second draw PPP loan, here’s everything you need to know.
Jan 31, 2020 · The proceeds of a PPP loan are to be used for: Payroll costs (as defined in the CARES Act, Economic Aid Act and this interim final rule); costs related to the continuation of group health care, life, disability, vision, or dental benefits during periods of paid sick, medical, or family leave, and group health care, life, disability, vision, or ...
- How can PPP loans be used by individuals with income from self employment who file a Form 1040, Schedule C?The proceeds of a PPP loan are to be used for the following: Owner compensation replacement, calculated based on 2019 or 2020 (using the same year...
- Can PPP proceeds be used for lobbying activities or expenditures?No. None of the proceeds of a PPP loan may be used for (1) lobbying activities, as defined in section 3 of the Lobbying Disclosure Act of 1995 (2 U...
- What happens if PPP loan funds are misused?If you use PPP funds for unauthorized purposes, SBA will direct you to repay those amounts. If you knowingly use the funds for unauthorized purpose...
- Can I spend less than 60% of my PPP loan on payroll?Short answer: Yes you can, but you will reduce the amount of your loan that may be forgiven. So you should try to spend at least 60% of your loan o...
- What happens if I don't spend at least 60% of my PPP loan on payroll?Short answer: You can receive partial forgiveness according to the forgiveness percentage formula for determining the qualifying amount of forgiven...
- Can I use my PPP loan to pay new employees if my old employees want to stay on unemployment?Yes. To receive forgiveness for your PPP loan, you must spend at least 60% of your funds on payroll costs. This can include hiring new employees, h...
- What if my employees are on unemployment and won’t come back after I get a PPP loan?In order to receive forgiveness for your PPP loan, you are only required to spend at least 60% of your funds on payroll and ensure that you don’t m...
- May First Draw PPP Loan or Second Draw PPP Loan proceeds be used for lobbying activities or expenditures?No. None of the proceeds of a First Draw PPP Loan or Second Draw PPP Loan may be used for (1) lobbying activities, as defined in section 3 of the L...
The Paycheck Protection Program (“PPP”) authorizes up to $349 billion in forgivable loans to small businesses to pay their employees during the COVID-19 crisis. All loan terms will be the same for everyone. The loan amounts will be forgiven as long as: The loan proceeds are used to cover payroll costs, and most mortgage interest, rent, and ...
week (56-day) period) that begins on the first day of their first pay period following their PPP loan disbursement date (i.e., the “Alternative Covered Period”). For example, if the borrower is using a 24-week Alternative Payroll Covered Period and received its PPP loan proceeds on Monday, April 20, and the first day of its first pay period
