On December 27, 2020, the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act was signed into law as part of the Consolidated Appropriations Act, 2021 (the Act). The Act reopens the Paycheck Protection Program (PPP) for businesses seeking a PPP loan for the first time (a First Draw PPP Loan) and permits eligible businesses that received a First Draw PPP Loan to apply for another PPP loan (a Second Draw PPP Loan). In addition, the Act implements some important modifications to the PPP, including additional expenses for which PPP loan proceeds may be used, modifications to the covered period, and clarification regarding how PPP loans will be treated for federal income tax purposes. Under the Act, the PPP will remain open until March 31, 2021, or until the new funding has been exhausted. Set forth below is a high-level overview of some key takeaways under the Act