On Thursday the House of Representatives passed a bill with several changes to the Paycheck Protection Program. Some of the highlights included in the final product:
- Stretches the previous 8-week period to 24 weeks
- The restriction limiting non-payroll expenses eligible for forgiveness is adjusted to 40% up from 25% in the original law
- Any new PPP loans issued will have a 5 year term rather than a 2 year term
The deadline to hire back employees in order to receive forgiveness for that portion used for payroll is now December 31, 2020.
Rep. David Rouzer (NC-7) said, “These are prudent, needed improvements that reflect feedback many Members of Congress have received from small business owners, particularly restaurant owners. It is expected that the Senate will take up this bill next week, and it should pass quickly. “