On May 15, 2020 the SBA released the Loan Forgiveness Application Instructions for Borrowers, which included the much awaited guidance on various forgiveness questions, and also left some unanswered questions. This blog will summarize the major points raised by the document and the practical impact on borrowers, and incorporates the revised rules introduced through th [...]

New Guidance On May 13, 2020, the Small Business Administration (SBA) provided guidance to Paycheck Protection Program (“PPP”) borrowers regarding the implications for eligibility certifications that were made in the borrower’s application (FAQ #46). The SBA clarified that borrowers with loan sizes under $2 million will be deemed to have made certification for eligi [...]

Benefit elections under a cafeteria plan are, with limited exceptions, irrevocable and must be made by plan participants (employees) prior to the first day of the employer-plan year. Under a newly issued IRS notice (Notice 2020-29), for the 2020 plan year, the employer-sponsored plan may permit employees (who are eligible to make salary reduction contributions) to mak [...]

On May 6, Governor Newsom expanded property tax filing and payment relief from county and local guidance announced in GHJ’s prior Tax Alert. In addition to expanding the payment relief guidance for April installments, the executive order extended the deadline for all business personal property tax statements until the end of the month. County personal property tax sta [...]

The Centers for Disease Control and Prevention (“CDC”) released guidance for cleaning and disinfecting public spaces, workplaces, businesses, schools and homes. Each entity should consider the CDC’s guidance in preparation for re-opening business in California and across the country, which is summarized as follows: Evaluate the workplace to determine what kinds of su [...]

On April 30, the Federal Reserve announced long-awaited details to the Main Street lending programs. There are significant updates to the original Term Sheet announced on April 9. The Announcement There are now three programs available to borrowers, and GHJ highlights the two newly announced programs below. FeaturesNew Loans ProgramPriority Loans ProgramSize [...]

This data has changed due to new legislation, please reach out to your advisor to get the latest on PPP forgiveness. The Paycheck Protection Program (“PPP”) funding provided by the CARES Act has attracted much demand, to the extent that the first round of funding was depleted in just 14 days, and the second round of funding is now underway. As the next phase of t [...]

President Trump has today (April 24, 2020) signed the Amendment (passed last evening by Congress), which will provide $484 billion in additional funding to the Paycheck Protection Program (PPP) , the Economic Injury Disaster Loan (EIDL) program and several other new provisions. The Amendment provides the following: The Lender-administered PPP loan will have addition [...]

This article was originally published in Los Angeles Business Journal The role of a business advisor has been evolving, and now COVID-19 has been a disrupter that shows the need for better and broader solutions to client challenges. A way to get there is diversity of thought, which comes from intentionally bringing varied skill sets, experiences, talents and back [...]

As previously noted in GHJ’s COVID-19 Updates, GHJ expects additional guidance from the Small Business Administration (SBA) to allow applicants to re-assess their initial application in light of questions on PPP eligibility for certain borrowers. Today (April 23) the SBA provided guidance in response to perceived abuses of large companies taking PPP loans when such [...]