Greetings!
We are grateful to have the opportunity to provide you this valuable information via our monthly e-newsletter and our unparalleled forensic accounting, expert witness, and fraud investigative services.
The goal of this e-newsletter is to provide you critical, inside information that will help you "follow the money" in business disputes, divorce cases, fraud cases, estate matters, corporate embezzlement, and to prevail when defending an IRS criminal case. We do this by sharing the knowledge we have from our 25+ years of experience as an IRS Special Agent and 16 years as a private investigator / forensic accountant.
We take special care to ensure the information we provide you in "The Beacon" is the latest and most current information available. This edition explains essential details about round 2 of Payroll Protection Program (PPP) loans.
We want to write about topics that will assist you in prevailing with fraud, divorce, estate and probate, and IRS criminal cases. Please e-mail us your topics of interest to Thebeacon@sageinvestigations.com
We encourage you to share our e-newsletter with others in your sphere of influence.
Sincerely,
Edmond J. Martin
Principal, Chief Investigator
Certified Fraud Examiner (CFE)
Texas Board Certified Investigator (TBCI)
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Payroll Protection Program (PPP) Loans Round 2
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This article continues the series of PPP Loan matters. On April 2, 2020, the U.S. Small Business Administration (SBA) posted an interim final rule announcing the implementation of sections 1102 and 1106 of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). Section 1102 of the CARES Act temporarily adds a new program, titled the “Paycheck Protection Program,” to the SBA’s 7(a) Loan Program.[1] [2] On December 27, 2020 the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act (Economic Aid Act) (Pub. L. 116-260) became law. The Economic Aid Act extends the authority to make PPP loans through March 31, 2021, and revises certain PPP requirements. A $284 billion pool of money was established to help struggling businesses survive during the pandemic. The Economic Aid Act did not alter or affect the requirements applicable to PPP1 loans closed prior to its enactment unless provisions are identified in this rule. These interim final rules also apply to loan forgiveness applications submitted under the Paycheck Protection Program before enacting the Economic Aid Act where the borrower has not remitted the forgiveness payment.
Borrowers who desire a PPP2 loan should pre-apply now using SBA Form 2483 since loan processing will begin on January 18, 2021. It is not necessary to have applied for first round PPP forgiveness before applying for the second loan. Lendio.com has a streamlined process to help borrowers that do not have lending relationships with their bank.
The new provisions allow borrowers that previously received and fully spent a PPP loan to apply for a second draw. To be eligible, borrowers must have no more than 300 employees and gross receipts during the first, second, and third quarter of 2020 to demonstrate a revenue reduction (gross receipts from all sources) of not less than 25%. This is computed by comparing the quarter of 2020 with the same quarter for 2019.
The first-round calculation for payroll used a factor of... Read More
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Knowledge without wisdom is like water in the sand.
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Contact Us
P.O. Box 160161
Austin, TX 78716
Phone: 512-659-3179
Fax: 512-328-6878
Texas License #A10803
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Serving your needs is our priority.
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At Sage Investigations, we are dedicated to serving our clients nationally, to help them navigate the difficulties of dealing with fraud, divorce, estate and probate, the IRS Criminal Investigation, and other complex (forensic) financial fraud investigations. By narrowing our focus to our primary strength of “following the money,” we steer our knowledge, efforts, and experience to financial issues. We help our clients propel their cases forward by assisting in the review, acquisition, and organization of financial records, evaluating the elements of their cases, and helping create winning strategies. Through the use of our proprietary advanced financial investigative technology, we trace and analyze complex financial data quickly, easily, and efficiently, saving our client's time and money.
Sage handles all cases with altruism, professionalism, honesty, integrity, passion, and respect. When you hire Sage, you hire a team of professionals with skill and knowledge that helps you have more effective solutions. We are innovative with our DIO cutting edge technology, and perform every investigation in an orderly and organized manner to develop a clear investigative roadmap and deliver a quality work product. The compass that guides us is strong leadership and accountability. Learn more ...
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