New simplified PPP loan forgiveness form for certain small businesses
Borrowers that receive a PPP loan of $150,000 or less will receive forgiveness if the borrower signs and submits to the lender a certification, not more than one page in length, includes a description of the number of employees the borrower was able to retain because of the loan, the estimated total amount of the loan spent on payroll costs, and the total loan amount. It is expected the SBA to create the simplified application by Jan. 20. The form may not require additional materials unless necessary to substantiate revenue loss requirements or satisfy relevant statutory or regulatory requirements. Borrowers are required to retain relevant records related to employment for four years and other records for three years, because the SBA may review and audit these loans to check for fraud.
Call our tax office for any PPP loan related question.