fbpx
Thursday, 10 June 2021 17:51

Sununu to Sign PPP Tax Exemptions for New Hampshire Businesses

Written by Christian Wade, The Center Square
New Hampshire Gov. Chris Sununu delivers his budget address Feb. 11. New Hampshire Gov. Chris Sununu delivers his budget address Feb. 11. YouTube/Gov. Chris Sununu

Index

Share This:

 

New Hampshire businesses will be exempt from paying state taxes on federal disaster loans under legislation expected to be signed by Gov. Chris Sununu

Sununu told the New Hampshire Business Review he planned to sign the recently approved measure, which will eliminate taxes on the federal Paycheck Protection Program for more than 25,000 businesses that received the disaster loans.

"Excited to move forward with yet another tax cut for the Main Street small businesses of New Hampshire," the Republican governor told the publication. "This plan is a win-win."

 

Senate Bill 3, filed by Senate Majority Leader Jeb Bradley, R-Wolfeboro, passed the House on June 4, putting New Hampshire in line with a majority of other states that have exempted the PPP loans from taxation. The bill was previously approved by the Senate.
 
Congress exempted the disaster loans from federal income taxes, but New Hampshire was one of 18 states where the funds were scheduled to be taxed.
 
Lawmakers who backed the move argued that the state has plenty of surplus money and can afford to give back to businesses that have struggled to survive during the pandemic. 
 
The state Department of Revenue Administration estimates the impact to state coffers ranging from about $80 million to $135 million.

 

The Paycheck Protection Program was approved as part of the $2.2 trillion CARES Act passed by Congress in March to help keep small businesses afloat during the current pandemic.

 

Under the law, borrowers are eligible for PPP loan forgiveness if at least 60% of the proceeds go toward payroll expenses.

 

A second pandemic relief package approved by Congress in December provided...


Previous Page Continue reading »

Read 349 times