NSAC Happenings and Latest News - Page 32
TAXFAX- Updates to the PPP Loan Program and Cooperatives
Under the Coronavirus Aid, Relief, and Economic Security Act (“CARES”) enacted in April of 2020, Congress announced the Paycheck Protection Program (“PPP”) to help small businesses weather the negative economic impact caused by the COVID pandemic. Loans under the PPP are 100% guaranteed by the Small Business Administration (“SBA”), and the full principal amount of the loans and any accrued interest may qualify for loan forgiveness.
Read MoreFASB Proposes Changes to Hedge Accounting Standard
The Financial Accounting Standards Board released a proposed accounting standards update to better line up a company’s hedge accounting with its risk management strategies.
Read MoreIRS Offers Safe Harbor for Claiming PPP Loan Deductions
The IRS and the Treasury Department are giving small businesses that received Paycheck Protection Program loans in the first round a way to deduct expenses they couldn’t claim last year.
Read MoreACCTFAX Bulletin Board
The Private Company Council (PCC) met on Thursday, December 3, 2020. Below is a brief summary of issues addressed by the PCC at the meeting: PCC Issue No. 2018-01, Practical Expedient to Measure Grant-Date Fair Value of Equity-Classified Share-Based Awards: FASB staff gave an overview of the feedback received from comment letters in response to the proposed Accounting Standards Update—Compensation—Stock Compensation (Topic 718):
Read MoreExpenses Paid with 2020 PPP Loans Can Be Deducted on 2021 Tax Returns
The IRS announced a safe harbor 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 the Consolidated Appropriations Act, 2021 (CAA), P.L. 116-260, in December 2020.
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