A Message for Our Clients
Throughout the evolving circumstances related to COVID-19, Kemp Klein’s priority remains focused on the well-being of our employees, colleagues, and clients, while continuing to serve those who face the same challenges we do. Following recommendations from our government and local health officials, our employees will continue to prioritize client matters while working remotely. Currently, our office remains open… read more.
Important Implications for Businesses Regarding New Michigan Executive Orders 160 and 161
On July 29th, 2020, Governor Gretchen Whitmer signed two new Executive Orders that reimpose certain public health policies that restrict business operations. The two orders effectively require businesses to resume limited operations, just as businesses were required as of June 1, 2020. Executive Order 160 and Executive Order 161 apply to businesses statewide… read more.
President Trump Signs Bill to Change PPP
The president has signed the Paycheck Protection Program Flexibility Act of 2020 (“PPPFA”), which makes significant changes to the Payroll Protection Program (“PPP”). The changes contained within the PPPFA should provide more flexibility to businesses to fully utilize their PPP funds which will increase the likelihood of the PPP loan being forgiven… read more.
Bonuses and Commissions May be Forgiven Under PPP Program
On May 22nd, the SBA and Treasury Department answered several questions that had lingered regarding what kinds of compensation are forgivable under the PPP program. One important unanswered question was the extent that commissions or bonuses paid by a borrower during the covered period were eligible for loan forgiveness…. read more.
Developments Regarding the Loan Forgiveness Application
Since the passage of the CARES Act, Kemp Klein has been happy to provide general information regarding the development of the law as regulations continue to roll out, especially as these regulations pertain to small businesses. In the past, we have provided general information respecting various parts of the Paycheck Protection Program (PPP) and this article is intended to supplement that information. Specifically, this article addresses the developments in the PPP as they relate to the loan forgiveness process… read more.
Treasury Released PPP Loan Forgiveness Application
Yesterday, the Treasury released additional guidance on PPP loan forgiveness calculations with their Loan Forgiveness Application. PPP borrowers should review the application and included instructions… read more.
The SBA Adopts a $2 Million Safe Harbor for PPP Loan Certifications
An issue of uncertainty for many businesses who acquired loans under the Paycheck Protection Program (PPP) is whether the Small Business Administration (SBA) would ultimately accept that they made their certifications that the loan was necessary to support their ongoing operations in good faith. On May 13, 2020, however, the SBA laid the concerns of many borrowers to rest by adopting a safe harbor in a new FAQ… read more.
What Congress Giveth with One Hand the IRS Taketh Away with the Other
Last week the IRS issued Notice 2020-32, in which it determined that that business expenses paid with forgivable funds from Paycheck Protection Program (PPP) loans may not be deducted as business expenses… read more.
SBA Releases New Guidance on How Workers Who Refuse to Come to Work Will Be Treated in Relation to PPP Loan Forgiveness
The Cares Act has created some atypical incentives for employers and employees. For example, the unemployment provisions in the Cares Act have allowed some individuals to make more money on unemployment than they did while they were working. This has led to some unusual situations as employers attempt to recall their workers… read more.
PPP Loans are Dominating the Public Discourse, but there are Some Great Alternatives
Since the passage of the CARES Act on March 27th, 2020 the Payroll Protection Program (PPP) has been an extremely popular topic amongst business owners. Millions of businesses across the country have applied for PPP loans, and many have received loan funding. However, while the PPP program is a great option for many small businesses, this doesn’t mean it is a perfect fit for all business owners… read more.
Returning to Work – COVID-19 Preparedness and Response Plan
While we don’t know when the Stay at Home Order will be lifted, now is the time to start planning for businesses to return to work, as there are numerous issues to consider. First, every business should create a COVID-19 Preparedness and Response Plan… read more.
Forgiveness Reduction under the Paycheck Protection Program
Since the passing of the CARES Act, we have provided general information regarding what the CARES Act PPP is, who qualifies under the program, the amount of funding a borrower may obtain, and how certain amounts of loan funding may be forgiven. This article explains how the amount of “loan forgiveness” for which a borrower is originally eligible under the Paycheck Protection Program may be reduced based on the borrower’s conduct… read more.
Second Round of Funding Approved for the CARES Act PPP Loans
On Thursday, April 23rd, the House passed a bill that funded an additional $320 billion for the Paycheck Protection Program, or PPP, created by the CARES Act, which was passed late last month… read more.
A Closer Look at the CARES Act PPP Loans
Last week, we explained what the CARES Act PPP loan program is and who qualifies for a PPP loan. This article focuses on how much funding a borrower can obtain through the PPP program and how loan proceeds may be forgiven… read more.
The CARES Act Expansion of EID Loans
The CARES Act expands eligibility for the Economic Injury Disaster Loan (EIDL) program to businesses employing 500 employees or less, until December 31, 2020… read more.
Main Street Lending Program: Another Funding Option for Small to Medium-Sized Businesses
For small businesses unable to secure the limited funds made available by the CARES Act through the SBA-administered Paycheck Protection Program (PPP) or medium-size businesses ineligible for a PPP loan, the Main Street Lending Program offered by the Department of Treasury is another source of funding created by the CARES Act to help whether the COVID-19 storm… read more.
My Employee Requested Leave Under the Families First Coronavirus Response Act. Do They Have to Use Existing Leave Under Company Policy?
In late April 2020, the Wage & Hour Division of the Department of Labor provided further guidance on when and how an employer may require their employee to use existing leave under company policy and when the choice belongs to the employee… read more.
My Employee Requested COVID-19 Related Leave, Now What?
The Families First Coronavirus Response Act (“Act”) was signed into law on late evening of March 18, 2020. The Act provides several emergency provisions that significantly modify the applicability of the Family and Medical Leave Act and also require employers to provide paid sick leave in certain circumstances related to COVID-19… read more.
Unemployment Status and the CARES Act
The CARES Act allowed states to enter into agreements with the federal government that provide enhanced benefits under their existing unemployment programs. Under these programs, in addition to existing unemployment compensation, qualifying individuals receive $600 per week of “Federal Pandemic Unemployment Compensation” through July 31, 2020… read more.
PPP Loan Program and the CARES Act
The Paycheck Protection Program (PPP) provides for the Small Business Administration (SBA) to guarantee 100% of loans issued to small businesses through December 31, 2020. This means that the loan money can be completely forgiven, depending on how the funds are used. Individual lenders will determine eligibility; however, generally a business is eligible if it employs 500 employees or less (not including independent contractors) and was in business on February 15, 2020. A total of $349 billion was allocated to help small businesses keep workers employed, but currently the SBA is not accepting further applications as the initial funding has run out. An additional round of funding is expected soon. If so, eligible entities should plan on applying as soon as the additional funds are authorized… read more.
OSHA Guidance on COVID-19
The Occupational Safety and Health Administration has posted Guidance on Preparing Workplaces for COVID-19 to businesses on how to prepare their worksites for COVID-19. The guidance makes clear that it is advisory in nature and not a new regulation or law that must be strictly followed.
State and Local COVID-19 Response Information
If you have personal or business connections with multiple states, the lobbying firm Multistate Associates has put together an excellent online spreadsheet of State and Local COVID-19 Response Information… read more.
The information contained within has been provided by Kemp Klein Law Firm for general information purposes. Nothing within this text or the affiliated links constitutes an offer, acceptance, agreement, or signature by Kemp Klein Law Firm and/or its attorneys or staff. Furthermore, this text does not constitute legal, accounting, tax, or other professional advice or services. Any business or individual should obtain a fact-specific analysis of the law from a legal professional prior taking any action.
While Kemp Klein Law Firm has made every attempt to ensure that the information contained is both accurate and up to date, please understand that this information is ever-changing and is subject to updated regulation coming out on a weekly basis. These are non-comprehensive pieces of information. Kemp Klein Law Firm is not responsible for any errors, omissions, or for the results obtained from the use of this information.