Many small businesses have taken advantage of the COVID-19 related loans from their banks and or the SBA( Small Business Administration). These have been termed the PPP(Paycheck Protection Program) loans or the EIL( Economic Injury ) loans.
The CARES act also provides for forgiveness for up to the full principal amount of qualifying loans guaranteed under the Paycheck Protection Program. The next step for these businesses will be to apply for forgiveness so as not to have an obligation to repay these loans to their bankers and or the SBA. In most cases for the PPP loans this process will start 60 days from the date the loan proceeds were received. There is now an application form from the SBA to be completed when applying for loan forgiveness.
Although this process may appear to be simple, it is not and I would urge businesses to enlist the help of their CPA advisors in completing and filing the form with their bankers. We are ready to help! Contact Philip K. Titlestad CPA, PLLC at 704 491 5201 or email to firstname.lastname@example.org.