Bloomberg Tax
Nov. 19, 2020, 10:12 PM

Congress Blasts IRS for Limits on Forgiven PPP Loan Tax Breaks

David Hood
David Hood
Laura Davison
Laura Davison
Bloomberg News

The top Republican and Democrat on the Senate Finance Committee said the Treasury Department “missed the mark” in new guidance that limits tax breaks for businesses that get their Paycheck Protection Program loans forgiven.

In a joint statement Thursday, Senate Finance Chairman Chuck Grassley and Democrat Ron Wyden said the Treasury is depriving some small businesses of much-needed economic relief by forcing them to choose between getting their PPP loans forgiven or claiming write-offs on expenses they covered with the loan money. The IRS published guidance on the issue Wednesday.

Ron Wyden, left, and Chuck Grassley
Photographer: Mark Wilson/Getty Images

“Regrettably, Treasury has now doubled down on its position ...