Preston's restaurant suffered a 70% decline in gross receipts when comparing the second quarter of 2020 to the same quarter 2019, When considering the recent changes enacted by the; the federal CAA and California AB 80, on which tax return(s) may Preston deduct business expenses paid with the forgiven portion of his PPP loan?

(a) His California tax return

(b) His Federal tax return

(c) Both (a) and (b); the federal CAA and California AB 80 allow Presto to deduct those business expenses paid with a forgiven PPP loan

(d) Neither (a) nor (b); the federal CAA and California AB 80 prohibit Preston from deducting any business expenses paid with a forgiven PPP loan

Answer rating: 100% (QA)

ANSWER b His Federal tax return A federal tax return is a tax return you send to the IRS each year t... View the full answer