Insights

MPL General Counsel Corner – PPP, EIDL, ERC…..Gooood Morning Vietnam!

April 19, 2021

Like any “good” government program, acronyms, not names, are the standard identifiers.  There can be a lot of confusion as to what they are and how they apply.  It reminds me of a classic scene in Good Morning Vietnam where Adrian Cronauer (played by Robin Williams) says the following:

“Excuse me, sir. Seeing as how the V.P. is such a V.I.P., shouldn’t we keep the P.C. on the Q.T.? ‘Cause if it leaks to the V.C. he could end up M.I.A., and then we’d all be put out in K.P.”

Keeping this in mind, I thought an update on three key Coronavirus relief programs would be helpful.

Paycheck Protection Program (PPP) – An almost $1 Trillion program originally established under the Coronavirus Air, Relief and Economic Securities Act (CARES Act) and recently updated under the PPP Extension Act of 2021.  The program ends May 31, 2021 if you are thinking of applying.  Key things to consider:

Economic Injury Disaster Loan (EIDL) – This loan package was also made available for Coronavirus relief under the various bills passed last year.  The EIDL program was scheduled to expire at the end of 2020.  However, under the Consolidated Appropriations Act (CAA), the EIDL was extended through the end of 2021.  Also, under the American Rescue Plan of 2021 (ARP), an additional $15 billion in targeted EIDL funding was approved.

Employee Retention Credit (ERC) – This refundable tax relief program was originally authorized under the CARES Act and covered employers who did not qualify or apply for the PPP.  However, with the passage of the CAA and the ARP, the ERC was extended into 2021 and PPP recipients were eligible to use it.

If your head is spinning or you have further questions about the above or other relief programs (see the links below), please reach out to your professional service providers or trade organizations.

 

As for me, I am taking some PTO and will be MIA while I watch GMV.

Enjoy your weekend!

Please see all of our prior updates at this link or if you would like to be added to our email list, please click here.  

As always, please don’t hesitate to email me (jsanders@mpl-law.com), Andy Miller (amiller@mpl-law.com), Christian Miller (cmiller@mpl-law.com), Erik Spurlin (espurlin@mpl-law.com) or anyone in our office with questions or comments.

Share:

Leave a Reply

Your email address will not be published. Required fields are marked *