House Passes Additional $310B in Funding for Paycheck Protection Program

On April 23, 2020, the U.S. Congress passed a $484 billion relief bill to provide additional stimulus and support for businesses as well as additional funds for hospitals and COVID-19 testing. The majority of the funds, $310 billion, are designated to provide additional funding for the Paycheck Protection Program (PPP) that ran out of funds in only two weeks. The President is expected to sign the bill into law today.

In addition to the increased PPP loan funding, the bill also adds:

• $60 Billion will be set aside for medium, small, and community lenders administering PPP loans;
• $60 billion for the Economic Injury Disaster Loan Program (EIDL), including $10 billion for grants;
• $75 billion for hospitals;
• and $25 billion for COVID-19 testing.

The bill does not change the requirements for the Paycheck Protection Program (view them here).

Eligible businesses that were not able to take advantage of the initial PPP funding should act quickly.

As the COVID-19 crisis continues to unfold, we will continually monitor the situation and tax matters surrounding it and provide timely updates as information becomes available. If you have any questions about this update or how it may impact you or your business please contact your ALL tax advisor or call us at 617-738-5200.