Paycheck Protection Program
Flexibility Act of 2020
June 4, 2020
PPP Covered Period Extended
Pending Presidential Signature
The Paycheck Protection Program Flexibility Act of 2020 was passed by the US Senate on June 3rd, following an eager demand by bankers and borrowers across the nation. Should it receive a Presidential signature, this piece of legislation would extend the program's covered period and would increase flexibility for PPP borrowers moving forward.
Among other changes, this bill:
- Extends the 8-week coverage period to 24 weeks
- Extends the PPP through December 31, 2020
- Extends the payment deferral period to up to 10 months after the covered period ends
- Allows payroll tax deferment for borrowers with forgiven loans
With the recent release of the PPP Loan Forgiveness Application, we understand that our borrowers may be eager to get applications submitted and begin the loan forgiveness process.
As the end date to your covered period has now been extended, we want to provide a friendly reminder that the Small Business Administration is not yet accepting forgiveness applications at this time. We will notify you when the application submission window has opened.
We understand this waiting period may be frustrating or worrisome for some borrowers. In the meantime, we encourage you to read through the bill in detail.
Read more on Congress.gov.TAKE ME THERE