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The U.S. Small Business Administration’s Paycheck Protection Program (PPP) is providing an...

Nearly half the states are taxing companies over PPP loans that have been forgiven – MarketWatch

6 days ago Banking and Finance

The U.S. Small Business Administration’s Paycheck Protection Program (PPP) is providing an important lifeline to help keep millions of small businesses open and their workers employed during the COVID-19 pandemic. Many borrowers will have these loans forgiven; eligibility for forgiveness requires using the loan for qualifying purposes (like payroll costs, mortgage interest payments, rent, and utilities) within a specified amount of time. Ordinarily, a forgiven loan qualifies as income. However, Congress chose to exempt forgiven PPP loans from federal income taxation. Many states, …

 

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