On May 15th, 2020, the Small Business Administration (SBA), in consultation with the Department of the Treasury, released the Paycheck Protection Program (PPP) Loan Forgiveness Application and detailed instructions for the application. You can find the forgiveness application and detailed instructions here
. Further instructions and corrections are likely to be released by the SBA in the coming weeks, and TCIA will continue to update our members with the latest relevant information.
Per the SBA’s latest press release:
The form and instructions inform borrowers how to apply for forgiveness of their PPP loans, consistent with the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). SBA 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:
Options for borrowers to calculate payroll costs using an “alternative payroll covered period” that aligns with borrowers’ regular payroll cycles
Flexibility to include eligible payroll and non-payroll expenses paid or incurred during the eight-week period after receiving their PPP loan
Step-by-step instructions on how to perform the calculations required by the CARES Act to confirm eligibility for loan forgiveness
Borrower-friendly implementation of statutory exemptions from loan forgiveness reduction based on rehiring by June 30
Addition of a new exemption from the loan forgiveness reduction for borrowers who have made a good-faith, written offer to rehire workers that was declined
The PPP has proved an important resource for helping tree care businesses weather the storm of COVID-19. Many companies applied for the loans because they are eligible for forgiveness, and this guidance is an important next step. Businesses are eligible to seek forgiveness on PPP loans at the conclusion of the eight-week covered period, which begins when the loans were disbursed.
TCIA is committed to providing our members the most up-to-date information on government policies that impact their businesses. With the COVID-19 pandemic posing economic and public health challenges, this information may be more crucial than ever. We urge our members to check back often to TCIA’s COVID-19 Guidance webpage
Paycheck Protection Program Loan Forgiveness Application