WASHINGTON (TIP): The Treasury Department and the Internal Revenue Service, on April 22, issued Revenue Procedure 2021-20 for certain businesses that received first-round Paycheck Protection Program (PPP) loans but did not deduct any of the original eligible expenses because they relied on guidance issued before the enactment of tax relief legislation in December of 2020. Under prior guidance, businesses that received PPP loans to cover payroll costs, interest on covered mortgage obligations, covered rent obligation payments, and covered utility payments could not deduct corresponding expenses. With the Dec. 27, 2020, enactment of the Consolidated Appropriations Act, 2021, businesses now may claim these deductions even though they received PPP loans to cover original eligible expenses. These businesses can use the safe harbor provided by this guidance to deduct those expenses on the return for the immediately subsequent year. More information on COVID-19 related tax relief for business can be found on IRS.gov
Related Articles
Indian American Professor Dr. Girish Panicker gets International Conservation Research Award
LORMAN, MS (TIP): Dr. Girish Panicker, a Kerala-born Indian American professor at Alcorn State University has received the 2023 International Conservation Research Award from the Soil and Water Conservation Society (SWCS). Panicker, director of the […]
Bangladeshi court sentences 13 to death for lynching 6 students
Dhaka (TIP): A Bangladeshi court on December 2 sentenced 13 people to death and 19 others to life imprisonment for lynching six students suspecting them of being robbers on the outskirts of the capital ten […]
Assuming US presidency, Biden tells divided nation ‘democracy has prevailed’
Former Presidents Barack Obama, George W. Bush, Bill Clinton attend inauguration Washington (TIP)- Democrat Joe Biden was sworn in as president of the United States on Wednesday, assuming the helm of a country reeling from […]
Be the first to comment