You have up to 10 months from the end of your loan's covered period to apply for forgiveness before you become responsible for payments and interest.
Since congress approved a new funding bill for the PPP program in late December 2020, and now the application deadline has been extended to May 31, 2021, there is sure to be a crush of fence-sitters finally deciding that it's time to get their applications in for a PPP loan.
Notice: The Paycheck Protection Program (PPP) ended on May 31, 2021. Existing borrowers may be eligible for PPP loan forgiveness. SBA also offers additional COVID-19 relief.
First PPP Loan Forgiveness Deadline is August 30, 2021.
The Federal Reserve Board on Friday announced it will extend for a final time its Paycheck Protection Program Liquidity Facility, or PPPLF, by an additional month to July 30, 2021.
The Federal Reserve has confirmed that it will extend Paycheck Protection Program Liquidity Facility (PPPLF), the facility bolstering the Paycheck Protection Program. The Federal Reserve, with support from the Treasury Department, has twice extended the life of the PPPLF.
Coronavirus SBA disaster loan programs are ending in 2022
The Payment Protection Program (PPP) officially ended on May 31, 2021, and the COVID-19 Economic Injury Disaster Loan (EIDL) program is set to close on December 31, 2021.
PPP Application Deadline Extended to May 2021: The U.S. Senate voted to extend the PPP program until the end of May 2021, giving small businesses more time to apply and the government more time to process requests.
As of January 1, 2022, SBA stopped accepting applications for new COVID EIDL loans or advances. As of May 6, 2022, SBA is no longer processing COVID-19 EIDL loan increase requests or requests for reconsideration of previously declined loan applications due to a lack of available funding.
Under the Extension Act, the last day for lenders to submit applications for Second Draw PPP Loans is May 31, 2021, and, the SBA will have an additional 30 days to process the applications submitted before June 1, 2021.
Borrowers can apply for forgiveness any time up to the maturity date of the loan. If borrowers do not apply for forgiveness within 10 months after the last day of the covered period, then PPP loan payments are no longer deferred, and borrowers will begin making loan payments to their PPP lender.
Key Takeaways. A third round of Paycheck Protection Program (PPP) loans was authorized by the passage of H.R. 133: Consolidated Appropriations Act, 2021 into law on Dec. 27, 2020.
First Draw PPP Loan If You Have No Employees
(If you are using 2020 to calculate payroll costs and have not yet filed a 2020 return, fill it out and compute the value.) If this amount is over $100,000, reduce it to $100,000. If both your net profit and gross income are zero or less, you are not eligible for a PPP loan.
The PPP Extension Act of 2021, Pub L No 117-6, 135 Stat 250 (2021), signed by President Biden on March 30, 2021, extended the Paycheck Protection Program (PPP) to June 30, 2021. The application deadline is now May 31, 2021. The deadline applies to both first-time applicants and second-draw borrowers.
PPP Round 3 applies to businesses with 500 or fewer employees, or if you're getting a second draw loan, 300 or fewer. They also apply to businesses that are categorized as being “Accommodation or Food Services” and have 500 or fewer employees per location (300 if you need a second draw loan).
Unfortunately We Are No Longer Accepting Applications. We are currently unable to accept new applications for PPP loans, due to high volumes, limited SBA funds, and the program's upcoming 5/31 expiration.
There is a limit of one PPP loan per tax ID. If your second business has a separate unique EIN, it's eligible to apply for the PPP as well.
If your business didn't apply for or secure a loan during the U.S. Small Business Administration's initial Paycheck Protection Program (PPP) round in 2020, you can still apply for a First Draw Loan, even with the program reopening January 11, 2021.
Phased Reopening of PPP Loan Program
The U.S. Small Business Administration (SBA) and Treasury Department announced that the Paycheck Protection Program (PPP) would reopen the week of January 11, 2021, for new borrowers and existing PPP loan recipients.
For sole proprietors or independent contractors with no employees, the maximum possible PPP loan is therefore $20,833, and the entire amount is automatically eligible for forgiveness as owner compensation share.
The Paycheck Protection Program (PPP) allows lenders to offer low-interest loans that may be 100% forgiven in certain circumstances. Independent contractors and self-employed individuals that have been adversely impacted by the COVID-19 pandemic have been eligible to apply for these loans since April 10, 2020.
Who is “self-employed” for purposes of applying for a PPP Loan? Only sole proprietors, sole members of LLCs, and independent contractors may at this time apply as self-employed individuals for PPP Loans.