04 June 2020 Senate clears House bill easing loan terms for Paycheck Protection Program The Senate has cleared for the President’s signature a bill (H.R. 7010) that would make a number of changes to the CARES Act’s $670 billion Paycheck Protection Program (PPP), an initiative managed by the US Small Business Administration that provides forgivable emergency loans to smaller businesses. Among other changes, the bill would give businesses 24 weeks to use the funds while still qualifying for forgiveness (an increase from the program’s current eight-week limit), increase to 40% (up from 25%) the amount of the loan that can be used for non-payroll costs, and allow businesses to defer payroll tax payments if they receive a PPP loan. A bipartisan letter clarifies that the loan application deadline remains June 30. Document ID: 2020-1465 |
