Ren Cicalese Comments on the New Stimulus Package in the Philadelphia Business Journal

Managing shareholder, Ren Cicalese, CPA, PFS, CGMA, is featured in the article, “Is there anything in there for me? Local experts on what businesses need to know about new stimulus package” in the Philadelphia Business Journal. Ren discusses how the new stimulus bill will affect businesses going through the PPP loan forgiveness process right now.

Many academics sided with the IRS, claiming the deductions would amount to a $100 billion tax deduction to the wealthy. Treasury Secretary Steven Mnuchin also argued against businesses being able to deduct business expenses paid with forgiven, tax-free PPP funds.

Congress had immediately said the IRS edict was contrary to the intent of PPP — the centerpiece of the $2 trillion CARES Act. The Small Business Expense Protection Act
was introduced to overrule the IRS but the bill sat idle until being included in the latest stimulus.

“The IRS didn’t want to open a Pandora’s box so they left it up to Congress to override them,” said Ren Cicalese of Cherry Hill’s Alloy Silverstein. “But I think it will impact a lot of businesses who are going through the forgiveness process right now with the first round when tax season comes around.”

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For more information about the new stimulus package, our latest article discusses what the bill entails and where the funding will be allocated.

$900 Billion COVID-19 Relief Bill

New stimulus package: Local experts on what businesses need to know – Philadelphia Business Journal