close
Share with your friends

House passes bill, payroll tax deferral for taxpayers with forgiven PPP loans (COVID-19)

House passes bill, payroll tax deferral for taxpayers

The U.S. House of Representatives today passed the “Paycheck Protection Program Flexibility Act of 2020” (H.R. 7010). The vote was 417 to 1.

1000

Related content

The Paycheck Protection Program (PPP) was enacted as part of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) (Pub. L. No. 116-136), to provide lending to both small and large businesses.

The bill would make several important changes to the PPP, such as extending the time for the expenditure of funds and easing the requirement that 75% of funds be used for wages.  A tax provision of the bill would amend the CARES Act to allow the deferral of payroll taxes without losing forgiveness of indebtedness under the PPP.

Read text of H.R. 7010

The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us

 

Want to do business with KPMG?

 

loading image Request for proposal