This article has been saved to your Favorites!

Sens. Ask Treasury For Clarity On PPP Loans, Retention Credit

By Jaqueline McCool · February 16, 2021, 5:05 PM EST

The U.S. Treasury Department and the Internal Revenue Service should clarify that receiving federal loans during the novel coronavirus pandemic does not exclude businesses from the employee retention tax credit, two senators said in a letter released Tuesday.

Sens. Margaret Hassan, D-N.H., and Richard Burr, R-N.C., asked Treasury and the IRS to issue guidance clarifying that receiving Paycheck Protection Program loans through the Coronavirus Aid, Relief and Economic Security Act does not mean a small business must forgo claiming an employee retention tax credit.

The letter was dated Feb. 10.

--Editing by Neil Cohen.

For a reprint of this article, please contact reprints@law360.com.