The Small Business Administration (SBA) and Treasury released the Paycheck Protection Program (PPP) Loan Forgiveness Application and detailed instructions for the application last week. The form and instructions inform borrowers how to apply for forgiveness of their PPP loans, consistent with the CARES Act.
According to the SBA, it will also soon issue regulations and guidance to further assist borrowers as they complete their applications, and to provide lenders with guidance on their responsibilities.
The form and instructions include several measures to reduce compliance burdens and simplify the process for borrowers, including:
The PPP was created by the CARES Act to provide forgivable loans to eligible small businesses to keep American workers on the payroll during the COVID-19 pandemic. The documents released today will help small businesses seek forgiveness at the conclusion of the eight-week covered period, which begins with the disbursement of their loans.