The paycheck safety program (PPP) utility deadline formally modified from March 31 to Could 31 on Tuesday when President Joe Biden signed the extension into legislation.

The US Senate voted 92-7 Thursday to approve the 2021 PPP extension legislation, HR 1799, sending laws to President for signature.

There was, nevertheless, a drama. A measure to amend the invoice was narrowly rejected 52–48. The modification, proposed by Senator Marco Rubio, R-Fla., Would have restricted the flexibility of the US Small Enterprise Administration (SBA) to prioritize sure PPP debtors over others. Had the measure been handed, it may have resulted in returning an amended invoice for approval to the Home of Representatives, which handed the unique Invoice 415–3 however is at the moment adjourned.

The AICPA welcomed the passage of the PPP Extension Regulation, which extends the deadline for submitting PPP functions by 60 days and provides the SBA a further 30 days to finish processing of functions acquired by Could 31. .

In a press launch, the AICPA stated the extra 60 days offered for within the invoice will go a great distance to assist small companies, nonprofits and CPAs that serve them full present PPP mortgage functions and make it simpler. file information. The extension legislation additionally offers the SBA time to take care of vital challenges within the mortgage utility course of, together with confusion of validation and error codes, delayed recommendation, and adjustments within the calculation of the PPP mortgage quantity. for unbiased debtors, in keeping with the AICPA press launch.

Patrick Kelley, affiliate administrator of the SBA’s Workplace of Entry to Capital, testified at a Senate Small Enterprise Committee assembly on Wednesday that 190,000 functions had been nonetheless caught within the SBA’s PPP platform because of codes Unresolved error associated to validation checks instituted by the SBA to assist forestall fraudulent claims from being funded.

The PPP Extension Act supplies no extra funding for the present PPP cycle, which Congress has supplied with greater than $ 290 billion to offer forgivable loans to small companies and nonprofits. From the opening of this system from January 11 to March 21, the SBA permitted over 3.1 million loans totaling practically $ 196 billion. In her testimony on Wednesday, Kelley stated that on the present lending fee, the PPP is anticipated to have ample funding to final till mid-April.

AICPA consultants talk about the newest PPP applications and different small enterprise help applications at a digital city corridor held each two weeks. The webcasts, which offer CPE credit, are free for AICPA members and $ 39.99 for non-members. To go to the AICPA City Corridor Collection net web page for extra data and to register. Recordings of City Corridor occasions might be considered freed from cost at AICPA tv.

the AICPA Paycheck Safety Program Assets Web page homes assets and instruments produced by the AICPA to assist deal with the financial impression of the coronavirus.

Accounting corporations can put together and course of PPP functions on the CPA enterprise financing portal, created by AICPA, CPA.com and fintech companion Biz2Credit.

For extra data and reviews on the coronavirus and the way CPAs can deal with the challenges of the outbreak, go to the JofAof coronavirus useful resource web page or subscribe to our electronic mail alerts for the newest P3 information.

– Jeff drew ([email protected]) is a JofA editor-in-chief.