This is a developing story, and SCACPA will provide updates as details become available.
JUST IN TIME CPE: SCACPA will offer a 3-hour CPE learning experience about this new recovery package on Jan. 8 that will be FREE to SCACPA members. Register for “Covid-19 Relief Package: Consolidated Appropriations Act of 2021” (LITX63) today!
UPDATED: “COVID-19 Relief Bill Addresses Key PPP Issues” (Journal of Accountancy, Dec. 21): “(The Consolidated Appropriations Act, 2021) ensures tax deductibility for business expenses paid with forgiven Paycheck Protection Program (PPP) loans, provides fresh PPP funding, makes Sec. 501(c)(6) not-for-profit organizations eligible for loans for the first time, and offers businesses facing severe revenue reductions the opportunity to apply for a second loan.”
The much-anticipated news of an agreement on the Coronavirus Economic Aid Package from the U.S. Congress arrived via an announcement from Senate Majority Leader Mitch McConnell on the Senate floor on Sunday, Dec. 20. Senate Minority Leader Charles Schumer confirmed the announcement from the Senate floor as well.
According to McConnell, the emerging agreement on virus aid will include:
- Targeted second draw of Paycheck Protection Program
- Allowance of deductibility of PPP loans
- Funding for logistics for vaccine distribution
- Funding for Federal unemployment benefits extended
- Funding of Direct Impact Payments
- Repurposing $560B from previous unused funding from the CARES Act
In the days since COVID-19 began, SCACPA has actively monitored action by the U.S. House and Senate and initiated conversations with both the IRS and South Carolina Department of Revenue to ask that much-needed relief is provided for taxpayers and tax practitioners affected by the ongoing crisis.
SCACPA’s Governmental Affairs Team has led numerous conversations with South Carolina’s state and federal legislators, the IRS and the SCDOR regarding how this affects South Carolina’s CPAs, individuals and businesses.
SCACPA will share more information and guidance as it becomes available. Please stay tuned to SCACPA’s social media channels and blog for breaking news.
Ways and Means Committee News Release: “Ways and Means Provisions in the 2020 Year-End Legislation” (Rep. Kevin Brady, Leader, Dec. 20, 2020):