More PPP loans, EIDL grants, Pandemic Unemployment benefits and other small business relief are coming soon. Here we do our best to explain the legislation that includes a new round of Paycheck Protection Program (PPP) loans. The total budgeted amount for these new PPP loans is just over $284 billion. As with the first round of PPP, businesses may be eligible for full forgiveness of these loans if proceeds are spent properly within a specific time period.
As you read this, keep in mind that for the most part, the changes included in this legislation apply to all PPP loans except those already forgiven. In addition, the way the legislation is written, most provisions take effect immediately after the legislation is enacted, as if they were in the CARES Act that was passed March 27, 2020.
Please note this is based on our initial understanding of the new law. Treasury and the SBA will no doubt clarify certain provisions with guidance as they did multiple times with the first round of PPP.