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How do I answer customer questions on Additional PPP Funding (New COVID Relief Package) for the Paycheck Protection Program (PPP)?

by Intuit Updated 4 days ago

Answer general questions about the new COVID Relief Package using the common Additional PPP Funding FAQs provided below.

If your customer has questions about their PPP Loan or Forgiveness with Intuit that are not covered in the FAQs, refer them to the proper support channel below:

  • For PPP loan repayment inquiries, refer the customer to the PPP Loan Servicing department at 1-844-832-2910.
  • For PPP loan forgiveness inquiries, refer the customer to PPP@intuit.com.

(Note: PPP Live Chat is no longer available as of 4/30/2022.)

If your customer has a PPP complaint, document it in the Case Comments section of the Salesforce case and move the case to the QBC Complaint Management queue. Follow the directions in the Complaint Management Program Complaint Intake Job Aid

  • The Coronavirus Response and Relief Supplemental Appropriations Act of 2021 is a $900 billion COVID relief package to deliver another round of economic stimulus for individuals, families, and businesses. The Act was signed into law on December 27, 2020. The relief package includes additional funding for first-time and second draw PPP loans to help small businesses.
  • In addition to providing funds for first-time borrowers, the new legislation provides small businesses the opportunity to apply for a second PPP loan if they have fewer than 300 employees and can show a reduction of at least 25% in revenue in 2020 compared to their 2019 revenue (in addition to other requirements). The maximum loan amount for PPP second-time borrowers is $2 million. Additionally, PPP borrowers can now deduct from their taxes any expenses paid using PPP loan proceeds.
  • The law further simplifies the PPP loan forgiveness application for loans of $150,000 or less. This simplified loan forgiveness process is retroactive and will apply to PPP loans of $150,000 or less, including loans from the first round of funding. The law also expands the list of expenses that are eligible for loan forgiveness.
  • More information can be found at the U.S. Small Business Administration website SBA.gov.
  • QuickBooks Capital is unable to accept Second Draw PPP loan applications as of the morning of May 5, 2021.
  • Prior to May 5, 2021, QuickBooks Capital was only accepting Second Draw PPP loan applications from certain eligible borrowers who applied for and received their first PPP loan through QuickBooks Capital. We also were only able to assist borrowers with loans of up to $150,000 based on calendar year 2019 or calendar year 2020 payroll costs processed by QB payroll.  
  • At this time, QuickBooks Capital is not able to process loan applications from sole proprietors, partnerships, LLCs, independent contractors, or self-employed individuals. We are also unable to serve Schedule C filers who have employees, seasonal businesses, or recipients of an EIDL loan between January 31, 2020, and April 3, 2020. QuickBooks Capital does not support users located in AK, NV or the U.S. Territories.

QuickBooks Capital is unable to accept Second Draw PPP loan applications as of the morning of May 5, 2021.

  • The law states that PPP borrowers that have fewer than 300 employees and can show a reduction of at least 25% in revenue in 2020 compared to their 2019 revenue (among other requirements) may be eligible for a second PPP loan.
  • QuickBooks Capital is not providing a PPP loan application to first-time borrowers. Eligible customers interested in applying for a first-time PPP loan may apply for a loan directly with our lending partner, Cross River Bank, here: https://www.crossriversba.com/quickbooks
  • The maximum loan amount of a Second Draw PPP loan is equal to the lesser of 2.5 times your average monthly payroll costs or $2 million, subject to certain restrictions. Some borrowers in the restaurant or accommodations industries (those with a NAICS code that starts with 72) may be eligible to use a multiplier of 3.5. QuickBooks Capital is able to assist borrowers with loans of up to $150,000 based on calendar year 2019 or calendar year 2020 payroll costs processed by QB payroll.
  • Payroll costs for small businesses include compensation to employees whose principal residence is in the U.S. in the form of:
    • Salary, wages, commissions, or similar compensation 
    • Cash tips or equivalent
    • Employee benefits, including costs for vacation, parental, family, medical, or sick leave 
    • Allowance for separation or dismissal
    • Payments required for the provisions of group health care benefits including insurance premiums
    • Payment of any retirement benefit 
    • Payment of state and local taxes assessed on compensation 
  • Payroll costs do not include employee or owner compensation over $100,000 or compensation for employees who live outside the U.S. Payroll costs also do not include qualified sick and family leave covered by the Families First Coronavirus Response Act.
  • The maximum loan amount of a Second Draw PPP loan is equal to the lesser of 2.5 times your average monthly payroll costs or $2 million, subject to certain restrictions. Some borrowers in the restaurant or accommodations industries (those with a NAICS code that starts with 72) may be eligible to use a multiplier of 3.5. 
  • QuickBooks Capital is able to assist borrowers who wish to use the calendar year 2019 or the calendar year 2020 look back period. You can choose one of these two time periods in the QuickBooks Capital application. You can select the period that results in the higher loan amount for your business. For example, if your average monthly payroll expenses were higher in 2019 than they were in 2020, selecting the calendar year 2019 may make your business eligible for a higher loan amount.
  • Please note that the loan amount available through QuickBooks Capital may be lower than the amount for which you are qualified.   For example, all borrowers are eligible to use the precise 1-year period before the date on which the loan is made.  In addition, seasonal applicants and new entities are eligible to use lookback periods tailored to their situation.   These additional lookback periods could result in a higher loan amount.  In addition, QuickBooks Capital is only able to assist borrowers using payroll data processed through QuickBooks Payroll and with loans of up to $150,000.
  • To qualify for a Second Draw PPP loan, your business must have had a reduction in gross receipts in excess of 25% over two comparable time periods. You can show a qualifying reduction in gross receipts in excess of 25% in one of these ways:
    • You can compare your gross receipts for one quarter in 2020 with gross receipts for the corresponding quarter in 2019.
    • If your business was in operation in all four quarters of 2019, you can also compare your annual gross receipts for 2020 with your annual gross receipts for 2019.
    • If your business wasn’t in operation during the first, second, or third quarter of 2019 but operated in the fourth quarter, you can compare the gross receipts of that quarter with the first, second, third, or fourth quarter of 2020.
    • If your business wasn’t in operation at all in 2019, but was in operation before February 15, 2020, you can compare the gross receipts from the second, third, or fourth quarter of 2020 with the first quarter of 2020.
  • Gross receipts refers to just about any kind of revenue that went to your business. Specifically, the SBA defines gross receipts as “all revenue in whatever form received or accrued (in accordance with the entity’s accounting method) from whatever source, including from the sales of products or services, interest, dividends, rents, royalties, fees or commissions, reduced by returns or allowances.”
  • If you’re applying for a loan amount less than or equal to $150,000, you just need to certify that your business had a 25% or greater reduction in gross receipts over comparable time periods. You don’t need to provide supporting documentation when you apply for the loan. However, you will need to provide supporting documentation when you apply for loan forgiveness. The SBA may also request this documentation from you at any time. The requested documents may include tax forms and financial statements.
  • Yes, eligible customers that received PPP funding in 2020 can apply for another loan, whether they have started their loan forgiveness application process or not. In order to be eligible for a second loan, you need to make sure all of the funds from your first loan were spent on eligible expenses. Forgiveness applications will not have an impact on you applying for a Second Draw PPP loan as long as you spent all of the funds from your first loan on eligible expenses.
  • The terms are the same as your previous loan (5 year loan with 1% interest rate).
  • If you submit your Forgiveness application within 10 months after the last day of your Covered Period ("Deferment Period") you will not have to make any payments of principal or interest on your loan until the SBA pays your forgiveness amount to your lender, or notifies your lender that you are not eligible for forgiveness. If you do not submit to your lender a loan Forgiveness application within 10 months after the end of your Covered Period, your Deferment Period will end and you must begin paying principal and interest after that period.
  • We are not supporting any additional amounts for the first PPP loan.
  • Because QuickBooks Capital was only able to assist borrowers with loans of up to $150,000 based on calendar year 2019 or calendar year 2020 payroll costs processed by QuickBooks payroll, the loan amount available through QuickBooks Capital may be lower than the amount for which you are qualified.
  • QuickBooks Capital is only able to calculate average monthly payroll expenses based on a calendar year 2019 or 2020 payroll expense period. We are not able to support calculations based on the previous 12 months or the additional periods available to seasonal borrowers and new entities. You may be eligible for a higher loan amount using one of these alternative payroll expense periods.
  • Unfortunately, I am unable to advise on this. Please work with your accountant or other professional for guidance on your specific questions or visit SBA.gov for more detailed information.
  • You will receive updates via email regarding a decision. Make sure you check your spam folder and you have access to the email that is tied to your account. You can also check the status of your application by signing into QuickBooks and visiting the QuickBooks Capital dashboard. 
  • If QuickBooks Capital needs more information from you, you may receive a phone call or email from us. If we don't hear back from you within 3 to 5 days after contacting you, your loan application may be canceled.
  • NOTE TO EXPERT: If the customer is persistent about a timeframe, please inform them that we are required to provide notification of our decision within 30 days of receiving their completed application.

The legislation calls for a simpler loan forgiveness application for PPP loans of $150,000 or less. Therefore, we are continuing to build out our online forgiveness experience within QuickBooks Capital based on this latest guidance. You will receive a notification in your account and/or via email as soon as we are ready to accept your loan forgiveness application online. Eligible customers that received PPP funding in 2020 can apply for another loan, whether they have started their loan forgiveness application process or not.

Although the IRS originally stated that borrowers whose PPP loans are forgiven would not be able to deduct expenses paid with the proceeds of a PPP loan, that position has been reversed.  As a result, borrowers will be able to claim deductions in 2020 and 2021 for any expenses that are otherwise deductible, regardless of whether PPP proceeds were used to pay those expenses.

  • You may cancel your Second Draw PPP loan application anytime before your application is submitted to the SBA.  If your application has not been submitted to the SBA and you want to cancel your Second Draw PPP loan application with QuickBooks Capital, please send an email to PPP-cancel@intuit.com. This email address is only set up for Second Draw PPP loan application cancellations. Please include the following information in your cancelation request email:
    • First and last name
    • Loan ID (you can find this in the Capital tab of your QuickBooks account)
    • Company name
    • Email address that was used to submit the application
  • If your Second Draw PPP loan application has been submitted to the SBA, we're unable to cancel your application.
  • You may refer to this self-help article for more information: How do I cancel my Second Draw Paycheck Protection Program loan application within QuickBooks Capital?
  • NOTE TO EXPERT: Please follow your normal escalation path for this as additional information will need to be gathered from the customer.

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