BREAKING NEWS: Governor signs PPP tax deductibility law
Governor Newsom has just signed AB 80, the long-anticipated state law that the CRA has pushed hard for since the beginning of the year. AB 80 will finally bring state law in line with federal law, allowing you to deduct your PPP-related expenses from your state tax bill.
This is an enormous victory for the CRA and its members – without it, there would have been a $150,000 cap on state deductions related to PPP expenses, meaning many of you would have had to pay a price, financially, simply for accepting the PPP aid from the federal government.
We know that for many of you who are in the middle of filing your taxes, this news comes not a moment too soon. Many of you will need information from your tax return in order to apply for the next round of available help, through the Restaurant Revitalization Fund (RRF.)
Your support has been critical to this effort as we have been engaged with elected leaders non-stop over the past few months fighting for the tax treatment you deserve.