That's a weird situation. Moreover, you have to be careful if someone is using your address and especially if is dealing with a loan. I have a friend who has been in a similar situation. For a long period of time, he was receiving different bills and letters on his address but not on his name. Of course, he wrote a complaint to authorities and tried to solve this problem and in the end, he was supposed to take a loan from https://credit-10.com/fi/ in order to pay all the bills. There was just a misunderstanding. My advice is to find a solution to this problem in order not to have the same issues.
Negative. I read last night that they're trying to pass a bill that would extend the 8 week forgiveness period as well as expand the forgivable categories. Anyone know anything about that?
This hasn't been enacted into law yet but almost surely will. Huge news for those of us with PPP loans. Sorry for the crappy formatting.
812 W. Dr. MLK, Jr. Blvd., Suite 101 | Tampa, FL 33603 | Phone: (813) 225-1918
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AMENDMENT TO PPP LOAN PROGRAM PASSES
BOTH HOUSES AND IS HEADED
TO THE DESK OF THE PRESIDENT
6/4/2020
By Theodore J. Hamilton, Esq.
If you have yet to get a Paycheck Protection Program loan (“PPP Loan”), you may want to reconsider. On Monday June 3, 2020, the U.S. House and Senate have passed House Resolution 7010 which modifies the spending amounts for PPP loans and extends the forgiveness period.
Current PPP borrowers may choose to extend the eight-week period forgiveness period to 24 weeks, or they can keep the original eight-week period. New PPP borrowers will have a 24-week covered period to meet the forgiveness requirements, but the covered period can’t extend beyond Dec. 31, 2020. This flexibility is designed to make it easier for more borrowers to reach full, or almost full, forgiveness.
The payroll expenditure requirement drops to 60% from 75%. The catch is now that the borrower MUST spend at least 60% on payroll or none of the loan will be forgiven. Forgiveness will thus now be given for the amount of the Loan used for at least 60% of payroll. But since the time frame for use goes well beyond 2 months, such forgiveness should be easy for most ongoing businesses. Currently, a borrower is required to reduce the amount eligible for forgiveness if less than 75% of eligible funds are used for payroll costs, but forgiveness isn’t eliminated if the 75% threshold isn’t met.
Borrowers can use the 24-week period to restore their workforce levels and wages to the pre-pandemic levels required for full forgiveness. This must be done by Dec. 31, a change from the previous deadline of June 30.
The legislation includes two new exceptions allowing borrowers to achieve full PPP loan forgiveness even if they don’t fully restore their workforce. Previous guidance already allowed borrowers to exclude from those calculations employees who turned down good faith offers to be rehired at the same hours and wages as before the pandemic. The new bill allows borrowers to adjust because they could not find qualified employees or were unable to restore business operations to Feb. 15, 2020, levels due to COVID-19 related operating restrictions including orders not to reopen or limitations place on reopening due to CDC guidelines or other state or local orders.
New borrowers now have five years to repay the loan instead of two. Existing PPP loans can be extended up to 5 years if the lender and borrower agree. The interest rate remains at 1%.
The bill allows businesses that took a PPP loan to also delay payment of their payroll taxes, which was prohibited under the CARES Act. Under the initial act of you took the PPP loan you could not defer your payroll taxes. Now you can do both.
The changes will give more businesses the flexibility to determine their right to forgiveness and get forgiveness of these loans. With this new change the forgiveness period would extend to December 31, 2020 allowing most business to continue to make payroll and giving flexibility to ensure rent payments continue moving forward. This will also give most business the ability to get complete forgiveness for the loans.
