The new coronavirus relief application period will open on February 24, 2021 and run through March 9, 2021 to expand the Payroll Protection Program (PPP) to smaller sized businesses that were unable to qualify previously. The trusted experts at Orlando based CPA Accounting & Tax Services outline 4 things you need to know about these important changes that will now allow the nation’s smallest businesses and sole proprietorships to take advantage of PPP relief funds.
1. Smaller Businesses Now Qualify
Only businesses with 20 employees or less are eligible to apply during the February 24-March 9 application window in effort to afford lenders the ability to focus solely on these newly eligible smaller sized businesses.
2. Sole Proprietors, Self-Employed and Independent Contractors Are Now Eligible
If you are a sole proprietor, self-employed or an independent contractor, there will now be $1 billion earmarked for these individuals if there are no employees and the business is located in a low or moderate-income (LMI) area.
3. Student Loan Delinquency/Default Does Not Count Against You
Access to the funds will be increased for business owners who are delinquent on their student loans to include those who have defaulted or are delinquent within the last 7 years.
4. Non U.S. Citizens and Former Felons Will Have Access Under Certain Conditions
More access for non-U.S. Citizens and former felons will be granted. The new changes would allow U.S. residents to use their Individual Taxpayer Identification Number (ITINs) and allow Green Card holders and individuals in the U.S. on a Visa to apply for relief. Former felons with convictions that took occurred within the last 1-5 years are now able to access the PPP funds.
Let us guide you through the PPP loan process. Contact the professionals at CPA Accounting & Tax Services to help guide you through tax season and beyond. We specialize in Business Accounting Services, Individual Tax Services, Tax Preparation, International Tax Services, Tax Planning and Tax Resolution Services. We have offices in Orlando, Florida and service clients worldwide. Find out how we can serve all of your accounting needs by contacting us today.