By SEMA Washington, D.C., Staff
SEMA joined with dozens of other trade associations in urging the U.S. Congress to pass legislation to forgive all PPP loans that are less than $150,000. The groups sent a letter to leaders of the House and Senate Small Business Committees requesting immediate passage of “The Paycheck Protection Program Small Business Forgiveness Act” (S. 4117).
To date, more than 85% of the PPP loans provided to small businesses are less than $150,000. Under the current program, the loan has restrictions on how monies are spent, including a requirement that 60% be spent on payroll cost, and company officials must then spend many hours completing paperwork to document the spending. The proposed legislation would instead simply require borrowers to submit a one-page forgiveness document.
The U.S. Congress is expected to consider another COVID-19 stimulus package later in July. SEMA is urging that the PPP loan forgiveness legislation be enacted at that time, either as a stand-alone bill or as part of the stimulus package.
For more information, contact Stuart Gosswein at email@example.com.