Copy of PPP Loan Foregiveness

PPP Loan Forgiveness

Anchor 1

Below you can access information about federal, state, city and private resources in regards to coronavirus (COVID-19).

The SBA & U.S Department of the Treasury offers three separate Paycheck Protection Program (PPP) loan forgiveness applications and related instructions. These documents will help small businesses seek forgiveness at the conclusion of the covered period, which begins with the disbursement of their loans.

The PPP loan will be fully forgiven if the funds are used for payroll costs, interest on mortgages, rent, and utilities. At least 60% of the forgiven amount must have been used for payroll. PPP forgiveness is based on the employer maintaining or quickly rehiring employees and maintaining salary levels. Forgiveness will be reduced if full-time headcount declines, or if salaries and wages decrease.

See below for the three categories, including some basic guidelines for determining which one of three PPP Loan Forgiveness Applications a Borrower may submit:

1) PPP Loan Forgiveness Form 3508S

A Borrower may use this form only if the Borrower received a PPP loan of $50,000 or less.
A Borrower that, together with its affiliates, received PPP loans totaling $2 million or greater cannot use this form
Click here for more instructions

2) PPP EZ Application Form 3508EZ

This version requires fewer calculations and less documentation than the standard Paycheck Protection Program Loan Forgiveness Application. The EZ Form is 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%, 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 COVID-19 and did not reduce the salaries or wages of their employees by more than 25%
Click here for more instructions

3) Paycheck Protection Program (PPP) Loan Forgiveness Application