Chicago Accounting Articles

SBA Defers EIDL Payments

Economic Injury Disaster Loans that were obtained in 2020, came with an automatic one year deferral of all principal and interest payments. That’s a deferral. Although no payments needed to be made, the interest on those loans continues to accrue and will be due...

SBA Raises EIDL Limit

Beginning April 6th, 2021, the Small Business Administration is increasing the upper limit of C-19 Economic Injury Disaster Loans from $150K to $500K. Given the length of the pandemic, the SBA has decided to increase this assistance from six months to twenty-four....

SBA Loan Payments Are Taxable

One of the most touted portions of the CARES Act enacted last year was the suspension of monthly loan payments on existing SBA loans. Entities that had existing SBA financing were no longer required to make payments for one year. This has saved our clients lots of...

Differences In PPP2 Lending

This time around things are different, and these differences should be known before jumping into this one blindly. The process isn’t new, but it’s certainly different. Don’t Get Caught Up On One Lender Many lenders are requiring that 1st draw recipients...

PPP2 Loan vs. The Employer Retention Credit

Many are asking if you can do both, and the answer is yes. They are no longer mutually exclusive events. What you cannot do is claim the ERC on the same payroll that you use for forgiveness on the PPP. You can do both if you don’t put in for forgiveness on the...

Banks Discover Problem In PPP2 Loan Approval Process

A major difference in the PPP Loan process this time is that it seems to be taking much longer to get approvals. One of the reasons for that difficulty is a glitch in the SBA software. Banks have found a technical error in the software portal they use to submit loans....