The IRS today released an advance version of Notice 2021-6 to waive the requirement to file certain information returns or furnish certain payee statements pursuant to provisions of the “Consolidated Appropriations Act, 2021” (Pub. L. No. 116-260) (December 27, 2020).
The Paycheck Protection Program (PPP) is one of two programs that provided financial support lending for small and large businesses pursuant to measures included in the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) (Pub. L. No. 116-136). The CARES Act provided for the forgiveness of covered loans and that any amount that otherwise would be includible in an eligible recipient’s gross income by reason of such forgiveness was excluded from gross income for federal income tax purposes.
Notice 2021-6 [PDF 113 KB] waives the requirement to file information returns or furnish payee statements concerning:
Announcement 2020-12, which was made obsolete by Notice 2021-6, was issued by the IRS in September 2020 to clarify that lenders that make PPP loans that are later forgiven under the CARES Act were not to file information returns or furnish payee statements to report the amount of qualifying forgiveness. Read TaxNewsFlash
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