08 May Resource Roundup – PPP Loan Forgiveness Updates
The United States Chamber of Commerce has shared the following updates on PPP loan forgiveness amidst some confusion on the subject.
For employers whose employees have chosen not to return to work, the Treasury Department has clarified its position on loan forgiveness. Specifically, if you’re an employer and want to bring an employee back who had previously been laid off, you will not be penalized if the employee chooses not to return. If you issue a written invitation to invite the employee back to work and the employee declines your written offer, you will not be penalized in PPP loan forgiveness application.
There is still PPP loan money available and businesses should continue to apply.
It is not known yet whether the window for loan use and forgiveness will be expanded beyond June 30, 2020, or if terms will be extended to more non-payroll expenses. While some of these rules could change, businesses are advised to assume the current program guidelines will not change.
Note: This is a summary of aggregated information from other parties and does not express the direct advice of Sam Goldenberg & Associates.