Most companies that received a PPP loan in the second round obtained funds during the first quarter of 2021. Assuming your covered period was 24 weeks and an additional 10 months from the end of your covered period, your deadline for applying for forgiveness before loan payment notices begin is likely right about now. You can still apply for forgiveness past this timeframe but your bank will be expecting you to start making payments on your PPP loan.
If you have not yet applied for forgiveness and you have not filed for the Employee Retention Credit (ERC), you need to explore whether you are eligible for the ERC tax credit. Payroll dollars used for PPP and ERC cannot overlap; there are significant impacts on your ERC should you not strategically use your payroll dollars. Please reach out to your GBQ contact to find out more.
If you need assistance with your PPP loan forgiveness applications or ERC eligibility, please reach out to a member of GBQ’s team.
Article written by:
Director, Assurance & Business Advisory Services