The U.S. Small Business Administration released a new, simplified loan forgiveness application for businesses that took Paycheck Protection Program loans of $50,000 or less.
Borrowers are exempt from reductions in loan forgiveness amounts based on reductions in full-time equivalent employees or reductions in employee salaries or wages. Most of the form involves certifications that the borrower must initial. The form does not require reporting amounts; however, borrowers still must submit documentation to their lenders.
Access the instructions for completing the PPP Loan Forgiveness Application Form 3508S.
Is your PPP loan between $50,000 and $150,000?
Congress may pass the PPP Small Business Forgiveness Act, which would forgive all loans under $150,000 with a one-page attestation form from the borrower. While we wait for Congress, we recommend that businesses with loans between $50,000 and $150,000 should wait to apply for loan forgiveness.
Reach out to your Yeo & Yeo professional about your situation. Visit Yeo & Yeo’s COVID-19 Resource Center for ongoing updates and resources available to assist you further.