SBA, Treasury release revised PPP forgiveness application, EZ version
The Small Business Administration (SBA), in collaboration with the Treasury Department, Wednesday released a revised, borrower-friendly paycheck protection program (PPP) loan forgiveness application implementing changes made by the recently enacted Paycheck Protection Program Flexibility Act (H.R. 7010).
In addition, the agencies published a new EZ version of the forgiveness application for borrowers who:
- are self-employed and have no employees; or
- did not reduce the salaries or wages of their employees by more than 25 percent and did not reduce the number or hours of their employees; or
- experienced reductions in business activity as a result of health directives related to the pandemic, and did not reduce the salaries or wages of their employees by more than 25 percent.
Of note, the EZ application requires fewer calculations and less documentation for eligible borrowers. Both applications allow borrowers to use the original 8-week covered period – if their loan was made before June 5 – or an extended 24-week covered period. The changes are designed to result in a more efficient process and make it easier for business to experience full forgiveness.
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