11 through March 21, the SBA has approved more than 3.1 million loans totaling nearly $196 billion. The PPP Extension Act does not provide any additional funding for the current round of the PPP, which Congress provided with more than $290 billion to make forgivable loans to small businesses and not-for-profits. Patrick Kelley, associate administrator for the SBA’s Office of Capital Access, testified during a Senate Small Business Committee meeting Wednesday that 190,000 applications were still held up in the SBA’s PPP platform due to unresolved error codes related to validation checks instituted by the SBA to help prevent fraudulent applications from being funded. The extension act also provides the SBA time to address significant loan application process challenges, including confusing validation and error codes, delayed guidance, and changes to the PPP loan amount calculation for self-employed borrowers, the AICPA release said. In a news release, the AICPA said that the additional 60 days provided by the bill will greatly help small businesses, not-for-profits, and the CPAs that serve them complete existing PPP loan applications and file new ones. The AICPA praised the passage of the PPP Extension Act, which extends the filing deadline for PPP applications by 60 days and provides an additional 30 days for the SBA to finish processing applications received by May 31. If the measure had passed, it could have led to an amended bill having to be sent back for approval to the House of Representatives, which had passed the original bill 415–3 but currently is adjourned.Īs it stands, the votes Thursday send the legislation to President Joe Biden for his signature several days before the PPP was set to expire. Small Business Administration’s (SBA’s) ability to prioritize certain PPP borrowers over others. Marco Rubio, R-Fla., would have restricted the U.S.
A measure to amend the bill was narrowly defeated 52–48. The final vote to approve the PPP Extension Act of 2021, H.R. “The first refunds are expected to be made in May and will continue into the summer.”ģ-26-2021 Senate passes PPP deadline extensionĪ bill to move the Paycheck Protection Program (PPP) application deadline from March 31 to May 31 won approval in the U.S. “Because the change occurred after some people filed their taxes, the IRS will take steps in the spring and summer to make the appropriate change to their return, which may result in a refund,” the agency said. The agency confirmed Wednesday that it will issue refunds automatically to eligible taxpayers. The IRS advised taxpayers not to file an amended return, saying it was devising a workaround. Taxpayers eligible for the tax break were left wondering if they should file amended tax returns to claim the benefit. President Joe Biden signed the $1.9 trillion relief law during tax season, on March 11. Households with $150,000 or more in income are not eligible for the tax cut. The American Rescue Plan waived federal tax on up to $10,200 of unemployment benefits, per person, received in 2020. The IRS will start issuing tax refunds in May to Americans who filed their returns without claiming a new break on unemployment benefits, the federal agency said Wednesday. Those payments will continue into the summer.