Congress extends Paycheck Protection Program through June 30, 2021

Authored by Michael Wronsky

On March 25, 2021, Congress passed the PPP Extension Act of 2021 (the Act), which keeps the loan program open through June 30, 2021. It was set to close March 31. The loan application deadline is also extended, but only to May 31, 2021. President Biden is expected to sign the Act into law. 

The extension gives borrowers more time to apply for the popular loan program designed to assist businesses with weathering the continued economic effects of the coronavirus pandemic. While the program was formally extended to June 30, the Act prohibits the Small Business Administration (SBA) from accepting new first- or second-draw loan applications during June. For the remainder of the month, the SBA is only to process applications it has received from lenders before June 1, 2021. 

We encourage you to reach out to your Baker Tilly advisor regarding how this may affect your tax situation.

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