Florida Teacher Forgiveness Loan Program

Florida Teacher Forgiveness Loan Program

The U.S. Small Business Administration has released a single-page form aimed at simplifying the process of applying to forgive Paycheck Protection Program loans, together with updated and revised forms that meet the requirements of the most recent stimulus legislation. 

Congress approved the COVID-19 relief package in the month of March that included $284 billion of financing for small-scale businesses who needed loans. The funds were used to offset the economic impact of the coronavirus pandemic. It also included a requirement that the SBA to issue streamlined forms within 24 hours after the legislation was signed into law to simplify the process of applying for forgiveness. It also included conditions meant to encourage more loans from community banks, specifically for minority-owned companies that were unable to obtain loans last year.

Florida Teacher Forgiveness Loan Program

Ed Zollars, a partner with Thomas, Zollars & Lynch CPAs wrote that the Small Business Administration fulfilled the requirement to issue the PPP form, which is one page long, for loan forgiveness within 24 days of the date of the enactment of the Consolidated Appropriations Act, 20,21. This was published on the Current Federal Tax Developments blog of Kaplan Financial Education. “The agency also released new forms.”

First Draw PPP Loan forgiveness terms

Florida Teacher Forgiveness Loan Program – For eligible borrowers, First Draw PPP loans are qualified to forgive loans. This happens if the loan disbursement occurs within an 8 to 24-week period.

  • Pay and worker levels are ensured
  • The loan proceeds are used on payroll expenses and other expenses that are eligible and
  • At least 60% of profits are spent on payroll costs

Second Draw PPP Loan Forgiveness Terms

Second Draw PPP loans given to eligible borrowers qualify for total loan forgiveness if they do so during the 8to 24-week time period after loan disbursement:

  • Employee and compensation levels are maintained in the same manner as is required for the First Draw PPP loan
  • The loan proceeds can be used to pay payroll costs or other eligible expenses.
  • A minimum of 60% of the proceeds go to expenses for payroll
  • How to apply for loan forgiveness , and when

A borrower can apply for forgiveness once the loan’s proceeds for which the borrower has applied for forgiveness have been utilized. Borrowers can request forgiveness at any time until the loan’s maturity date. If they do not file for forgiveness within 10 months of the last day of the period covered the PPP loans are no longer deferred and borrowers will begin making payment to their PPP lender.

Download Florida Teacher Forgiveness Loan Program

Gallery of Florida Teacher Forgiveness Loan Program


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