Small U.S. Businesses Cry Foul as Some States Tax Pandemic Loans

Lindsay DesLauriers was on a roll early last year. Her family had recently bought back the Bolton Valley Resort in Vermont, which her father had originally developed in the 60s. The business was on a “really positive growth trajectory,” she said. Then the pandemic hit.

Vermont’s shutdown in March 2020 came at a terrible moment for the resort, eliminating the last three weeks of the winter season along with the revenue that sustains it through the lean summer months. DesLauriers went from 300 employees to eight.

So she rushed to apply for the Paycheck Protection Program, created by Congress to aid small ...