Job Creators Network Calls on Congress to Pass PPP Extension Allowing Loan Forgiveness Expenses to be Tax-Deductible

Washington D.C. (December 15, 2020) – With Congress increasingly coalescing around a Covid-19 legislative package, Alfredo Ortiz, President and CEO of the Job Creators Network, released the following statement urging legislation to pass this small business lifeline immediately and make sure that the PPP extension allows loan forgiveness expenses to be tax-deductible:

“Congress is finally listening to the will of the people and coming together to compromise on another much-needed Covid-19 legislative package that includes extending the Paycheck Protection Program (PPP). The PPP is a necessary lifeline for millions of American small businesses suffering through the fallout of another wave of Covid-19 and related state and local restrictions on business activity. Lawmakers must pass this extension immediately so that small businesses can keep their doors open and staff employed until herd immunity is reached in a few short months. Without these funds, widespread business closures and unemployment will decimate the economy and labor market. Importantly, Congress must also clarify that all PPP loan forgiveness expenses are tax-deductible, as Congress originally intended in the CARES Act. Subjecting these funds to taxes penalizes small businesses for doing the hard work of maintaining their businesses and payrolls. By fixing this tax glitch in the forthcoming legislation, Congress can ensure that American small businesses are poised to drive the American economy forward in 2021.”