More changes were made to the PPP program. First, the deadline to apply is extended to May 31st. If you are self-employed or own a small practice, consider applying for a PPP loan. Remember, the PPP loan is FREE MONEY, and should NOT need to be repaid and should NOT be subject to federal income taxes.
A second change deals with how much PPP money self-employed individuals can receive. Under the revised PPP rules, you will base the maximum PPP loan on your Gross Collections as reported on your Schedule C. Previously, the calculation was a function of your net Schedule C income. Either way, the max you can receive remains at $20,833, with the calculation now based on gross revenue capped at $100k.
More info is available at: https://schwartzaccountants.com/2021/03/ppp-formula-enhanced-for-sole-proprietors-earning-less-than-100k/
Please visit the SBA website for more details at: https://www.sba.gov/page/coronavirus-covid-19-small-business-guidance-loan-resources