IRS Issues Additional PPP Deductibility Guidance

Last week, the IRS and U.S. Treasury Department provided new guidance reaffirming the non-deductibility of certain expenses paid from proceeds of a Paycheck Protection Program (PPP) loan.

OMA Connections Partner RSM has published its analysis, noting that the IRS rule “holds that taxpayers should not deduct PPP funded expenses in the year the expense was paid or incurred regardless of whether the taxpayer has sought forgiveness on the loan.”

OMA Connections Partner Clark Schaefer Hackett has also published this overview of the new guidance. 11/24/2020