On June 5th, 2020 President Trump signed the Paycheck Protection Program Flexibility Act of 2020, also known as the PPPFA or PPP Flexibility Act.
Why was this needed? Because with delayed guidance, imperfect roll-outs, delays in funds being received and an increasingly burdened small business community, Congress recognized the very program designed to aid small business was about to endanger small business.
Keep in mind there will be no PPP loan applications accepted after June 30, 2020. In the meantime, here is a quick list of what’s new and suggestions for consideration before you apply for a PPP loan:
There is a new PPP application, so make sure you down load a copy of the correct application to apply. I have a link to the update PPP application in the show notes of this podcast.
If you already have a PPP loan, there is an updated PPP Loan Forgiveness Application.
Newly applying small businesses will have the covered period extended to begin on the date of the origination of the covered loan and end 24 weeks later or Dec. 31, 2020 whichever comes first.
If you already have a PPP loan, then you can choose to keep the original 8-week period or switch to the 24-week period.
There is a significant amount of documentation required both for forgiveness and for tax purposes. Marcum Tax Accountants and Advisors hosted a webinar on June 12th with lots of information and the changes highlighted in red for easy reference.
The tax considerations center around IRS Notice 2020-32 regarding the taxability of PPP funds.
For those of you wondering what all that means, some of the tax deductions you may be counting on may no longer be available to you if you took PPP funds.
Secretary Mnuchin’s announcement on June 8th highlighted some of the new elements, but we are still waiting for more guidance from Treasury, so watch for that guidance and consult with your CPA or Attorney.
Go to www.weservgad.org to read the blog post on the PPP Flexibility Act with links to resources and information.
Cities and Towns: As Arizona cities and towns open back up, it is good to see that large economic development projects did not slow down. Casa Grande Mayor McFarland emailed me a copy of Comeback S.M.A.R.T. Casa Grande, a brand-new brochure highlighting Casa Grande City Services as the City comes back with in person services. I have a link to this helpful brochure providing information on City and Community Services, Fire and Police information, information on the Courts, and other City Services in the show notes for this podcast.
You can listen to the city updates from El Mirage Mayor Hermosillo, Goodyear Mayor Lord, Maricopa Mayor Price and Avondale Mayor Weise at www.weservgad.org under podcasts.
Government Affairs Advisory Council Meeting: The West Valley Chapter Government Affairs Advisory Council Meeting will be via Zoom on June 25th from 1pm to 3pm. Our big project update will be on Government Programs and Resources available to help you with your business and some big projects bringing jobs and development to Pinal and West Valley.
Our special speakers will be West Valley Government Affairs Advisory Council Chair Susan Nicolson and our Chair-Elect for 2021 Garnett Sailor. Learn how these two successful REALTORS have built, sustained and grown their businesses – even during the COVID-19 shutdown. They will give you tools, strategies and resources so you can think differently about your business to grow and prosper.
WeSERV GAD: Advocating for private property rights, the right to private contract and YOUR business!
Song Credits:
WEPA Song Credits: "Wepa" Kevin MacLeod (incompetech.com), Licensed under Creative Commons: By Attribution 3.0 License, http://creativecommons.org/licenses/by/3.0/
WERQ Song Credits: "Werq" Kevin MacLeod (incompetech.com), Licensed under Creative Commons: By Attribution 3.0 License, http://creativecommons.org/licenses/by/3.0/
Learn more about your ad choices. Visit megaphone.fm/adchoices
