Louisiana Main Street Funding-Tax implications

The Main St. website says "We're awaiting clarification on this". I'm not planning on claiming it unless I hear that we have to- I'm going to treat it like PPP.

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Anyone hearing if a determination has been made on if this grant will be taxable or not? Have heard taxable and nontaxable from different CPAs

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All inflows are taxable unless there is a specific exemption. To my knowledge, the PPP forgiveness, and the SBA 1K "grant" per employee, have been statutorily deemed not to be income, and no deduction recapture is required.

Just about every state has a program like LA Main Street and at this point, I believe it is a taxable grant.

Also, keep in mind some states are handling this differently. CA for example is hell bent on taxing the PPP forgiveness, for state taxes. I haven't heard anything that says LA will try to do that.

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In Louisiana are grants not typically nontaxable?

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You have federal tax law and state tax law. LA could decide to not tax it for state taxes, that has not happened.

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However they could argue the additional expenses then could not be deducted since they have been reimbursed.

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Yup.