Stimulus Bill And Ppp Tax Deduction

The good news for most ppp borrowers is that the proposed bill allows for the deduction of these expenses and for loan forgiveness to not be included in income.

Stimulus bill and ppp tax deduction. Allowing the deduction would create a double tax. Lawmakers agreed on a 900 billion covid stimulus package over the weekend. And borrowers that are s.

The 900 billion covid 19 relief package passed monday provides 284 billion for a revised paycheck protection program ppp and clarifies that businesses can claim tax deductions for expenses paid for with forgiven ppp loans. Covid relief bill adds ppp tax breaks the treasury opposed. Please contact your rs f client advisor for assistance with any ppp stimulus or planning matters as we near the end of 2020 and finally begin 2021.

Late monday evening december 21 2020 congress passed a 900 billion stimulus bill that among other things includes some continuation of relief although modified for individuals and businesses impacted by the coronavirus covid 19 pandemic adds additional categories of allowable expenses under the paycheck protection program ppp and tackles the prior determination of the internal revenue service irs that precluded recipients of ppp loans from taking deductions for.