![]() This is where S Corp and C corp owners would pay themselves. You can apply for 2.5 months of payroll based on either 2019 or 2020 payroll reports. ![]() The deadline is MaOR once funds have run out. You don’t have to have applied for or been granted forgiveness yet, but just have spent all the money.Īpplications are open now, so check with your bank or lender. Start with your full year - if 2020 gross revenue is less than 2019 for the entire year- you qualify! If your receipts are not down for the entire year, check quarter by quarter. If any 2020 quarter is less than the same quarter in 2019, that will qualify you for a 2nd round PPP!Īnother additional requirement is you have to have spent all of your first PPP loan before applying for a 2nd. TO determine whether or not you qualify under this new criteria, you've got to analyze your income. Businesses must have experienced a drop in revenue in 2020 over 2019. There is an additional requirement for business' to take a 2nd draw. ALL borrowers must first certify that they have been affected by the Coronavirus. Also, partnerships with taxable income can get a PPP loan. Sole proprietors, single Member LLCs, independent contractors, and “gig workers” who had a profit to show on Schedule C line 31 of their 2019 or 2020 1040 can also apply for a 2nd round of PPP. Who can get a 2nd draw PPP loan under the Economic Aid Act?Īny business that has less than 500 W2 employees (including themselves if they are Corporation or S Corp owners on payroll) can get a 2nd draw PPP. This is for my business owners out there who took a PPP loan during the first round of offers between April and August of 2020 under the CARES Act and are looking to take a 2nd loan out under the most recent Economic Aid Act. We will issue an update as soon as possible. ![]() ![]() EDIT/NOTE: Biden announced some changes on 02.22.21 that are not reflected in this article. ![]()
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