The Paycheck Protection Program Forgiveness Application and Guidelines are now available

The impact of the coronavirus (COVID-19) crisis has greatly impacted the U.S. economy. The Small Business Administration is working alongside sister agencies like the Department of Treasury, congress and the lending community to support our country's small business community. 

The Paycheck Protection Program was brought to life with the passing of the CARES Act. This small business loan provides much needed capital to keep employees on payroll and small businesses operating. One of the most appealing aspects of this loan program is the incentive to have the loan fully forgiven. 

The Paycheck Protection Program Forgiveness Application, released May 16, 2020, is available online. You can find it here: 

https://www.sba.gov/document/sba-form--paycheck-protection-program-loan-forgiveness-application

The guidance can be found here:https://www.sba.gov/sites/default/files/2020-05/IFR%20Forgivenss%20FINAL.pdf

If you received a PPP loan, you must complete the PPP Forgiveness Application and submit it to your lender. You may begin submitting your forgiveness application beginning July 1, 2020. The application itself is 11 pages. You will also need documentation such as payroll processing records and tax filing statements, non-payroll expenses (electricity, gas, water, transportation, telephone, internet access), PPP loan contract, EIDL contract, and any supporting documents you used when applying for the PPP loan. 

Here are some tips for success:

  • Don't wait, gather all your documents now
  • Create a separate bank account for you PPP loan
  • Document the number of Full Time Employees (FTE) with the hours they worked and pay they received during the 8 week period
  • Stay up to date with any new laws and regulations
  • Have patience
  • Reach out to one of our resource partners for assistance, go to https://www.sba.gov/ct and find one in your area.

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