From:                                             Harding Shymanski <>

Sent:                                               Friday, January 8, 2021 4:59 PM

To:                                                  Leslie Wight

Subject:                                         HSC Coronavirus Communication Edition #32




Edition #32

January 8, 2021



HSC COVID-19 Fast Response Team

We are here to help! 


In these uncertain times with multimedia channels reporting conflicting and sometimes incorrect information, our firm is working to add clarity to this situation by providing new and verified information as it becomes available to us. We have also set up a Coronavirus Resource Center on our website for ongoing information. 


In addition, we have created the HSC COVID-19 Fast Response Team to serve our clients in addressing the difficult decisions they are being faced with on a daily basis. This dedicated multi-disciplinary team consists of our tax, payroll, HR, capital markets and accounting professionals. 


If you have questions or would like to speak with this team, please contact your HSC team member or Kyle Wininger,




SBA and Treasury Announce PPP Re-Opening; Issue New Guidance


WASHINGTON – The U.S.. Small Business Administration (SBA), in consultation with the Treasury Department, announced today that the Paycheck Protection Program (PPP) will re-open the week of January 11 for new borrowers and certain existing PPP borrowers. To promote access to capital, initially only community financial institutions will be able to make First Draw PPP Loans on Monday, January 11 and Second Draw PPP Loans on Wednesday, January 13. The PPP will open to all participating lenders shortly thereafter. Updated PPP guidance outlining Program changes to enhance its effectiveness and accessibility was released on January 6 in accordance with the Economic Aid to Hard-Hit Small Businesses, Non-Profits, and Venues Act.


This round of the PPP continues to prioritize millions of Americans employed by small businesses by authorizing up to $284 billion toward job retention and certain other expenses through March 31, 2021, and by allowing certain existing PPP borrowers to apply for a Second Draw PPP Loan.


“The Paycheck Protection Program has successfully provided 5.2 million loans worth $525 billion to America’s small businesses, supporting more than 51 million jobs,” said Secretary Steven T. Mnuchin. “This updated guidance enhances the PPP’s targeted relief to small businesses most impacted by COVID-19. We are committed to implementing this round of PPP quickly to continue supporting American small businesses and their workers.” 


“The historically successful Paycheck Protection Program served as an economic lifeline to millions of small businesses and their employees when they needed it most,” said Administrator Jovita Carranza. “Today’s guidance builds on the success of the program and adapts to the changing needs of small business owners by providing targeted relief and a simpler forgiveness process to ensure their path to recovery.”

Key PPP updates include:

·      PPP borrowers can set their PPP loan’s covered period to be any length between 8 and 24 weeks to best meet their business needs;

·      PPP loans will cover additional expenses, including operations expenditures, property damage costs, supplier costs, and worker protection expenditures;

·      The Program’s eligibility is expanded to include 501(c)(6)s, housing cooperatives, direct marketing organizations, among other types of organizations;

·      The PPP provides greater flexibility for seasonal employees;

·      Certain existing PPP borrowers can request to modify their First Draw PPP Loan amount; and

·      Certain existing PPP borrowers are now eligible to apply for a Second Draw PPP Loan. 

A borrower is generally eligible for a Second Draw PPP Loan if the borrower:

·      Previously received a First Draw PPP Loan and will or has used the full amount only for authorized uses;

·      Has no more than 300 employees; and

·      Can demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020.

The new guidance released includes:

·      PPP Guidance from SBA Administrator Carranza on Accessing Capital for Minority, Underserved, Veteran, and Women-owned Business Concerns;

·      Interim Final Rule on Paycheck Protection Program as Amended by Economic Aid Act; and

·      Interim Final Rule on Second Draw PPP Loans.

For more information on PPP second draw please contact Scott Touro, MBA at



Employee Retention Credit (ERC) and Paycheck Protection Program (PPP) Flowcharts


We wanted to share some information with you about the ERC (a payroll tax credit) and PPP in case you were wondering if either might apply to your business. We will be talking about this as well as other topics and items on our webinar January 12th but wanted to get a few decision flowcharts in front of you on these topics to help guide you if your business is eligible to take advantage of these programs.


Employee Retention Credit: There is a potential payroll tax credit for the first two quarters of 2021 and a potential retroactive payroll tax credit for 2020 available as well. The below decision flowcharts (one for 2020 and one for 2021) will help you determine if you might be eligible for this in either 2020 or 2021 (the rules are different for 2020 and 2021 thus the need for two different flow charts). 

Employee Retention Credit 2020

Employee Retention Credit 2021


Did you obtain an original PPP Loan and use (or intend to use) all the proceeds as required? The below decision flowchart will help you determine if you might be eligible for a second draw PPP loan.

Paycheck Protection Program Flowchart 2021


Register here for our webinar on January 12, 2021,11:00 ET,10:00 CT.


If you have any questions on the decision flowcharts please contact Matt Folz, CPA for ERC or Scott Touro, MBA for PPP


Harding, Shymanski & Company, P.S.C. is a public accounting firm with offices in Evansville, Indiana, and Louisville, Kentucky. We are one of the largest accounting firms in Southern Indiana and Kentucky, providing experienced professionals who look beyond the numbers to the heart of complex issues.  Our clients range in size from small proprietorships to billion-dollar corporations, from closely-held and family-owned businesses to publicly traded firms, and span nearly every industry. They all have one thing in common: they count on our expertise to capitalize on their opportunities and make the best of their challenges.


Evansville Office

21 SE Third Street

Suite 500

Evansville, IN  47708

(812) 464-9161

Louisville Office

545 S Third Street

Suite 102

Louisville, KY  40202

(502) 584-4142



As a reminder, you are receiving this email because you are a valued client of Harding, Shymanski & Company, P.S.C.  For more information on our company, please visit our website.



Harding, Shymanski & Company, P.S.C

Office locations