On Tuesday, March 30, President Joe Biden signed into law the Paycheck Protection Program (PPP) Extension Act. Congress had expeditiously considered the legislation over the last two weeks as the deadline loomed. The new law extends the program to May 31, 2021, since it was set to expire on March 31.
The extension allows small business owners more time to apply for the federal government’s forgivable business loans that were created as part of the Coronavirus, Aid, Relief, and Economic Security (CARES) Act, given that there was another round of funding provided in the Coronavirus Response and Relief Supplemental Appropriations Act of 2021.
The latest round of PPP loans have additional specified requirements to prevent fraud, which has hampered the ability of banks to
expeditiously process loan applications.