No Documentary Stamp Taxes for Paycheck Protection Program Loans
Small businesses do not owe Florida excise taxes, also known as documentary stamp taxes, for loans obtained pursuant to the Paycheck Protection Program under the CARES Act. Generally, Florida loans are subject to documentary stamp taxes equal to 35 cents for every $100 (capped at $2,450 for unsecured loans). The Governor issued Executive Order #20-95 to ensure that the tax would not deter small businesses in Florida from taking advantage of the SBA loans.
For more information on the Paycheck Protection Program under the CARES Act, see our recent blog post.
Williams Parker’s COVID-19 response team is continuing to monitor these and other developments and advise on issues arising from the Coronavirus.