Regency Loan Forgiveness

Regency Loan Forgiveness

The U.S. Small Business Administration released a one-page form designed to make it easier for applicants to complete the process of applying for forgiveness of Paycheck Protection Program loans, together with updated and revised forms that conform to the requirements of the most recent stimulus legislation. 

Congress approved the COVID-19 relief plan last month, which provided $284 billion of funding to small businesses that needed loans. This money was used to offset the economic impact of the coronavirus epidemic. It also included a requirement that the SBA to issue simplified forms within 24 hours of the legislation being signed into law to simplify the procedure of applying for forgiveness. The legislation also contained conditions meant to encourage more loans from community banks, particularly for minority-owned companies that struggled to get loans in the past.

Regency Loan Forgiveness

“The Small Business Administration met the requirement of releasing the one page form for loan forgiveness under the PPP by 24 days after the date of enactment the Consolidated Appropriations Act, 2021,” wrote Ed Zollars who is a partner of Thomas, Zollars & Lynch CPAs, on his Current Federal Tax Developments blog for Kaplan Financial Education. “The agency also released new forms that were updated.”

First Draw PPP Terms of loan forgiveness

Regency Loan Forgiveness – For those who qualify First Draw PPP loans can be eligible to be forgiven. This applies if the loan disbursement occurs within an 8 to 24-week period.

  • The levels of compensation and employee pay are ensured
  • The loan proceeds are spent on payroll costs and other expenses that are eligible and
  • At least 60% of the proceeds are used for the cost of payroll

Second Draw PPP Loan Forgiveness Terms

Second Draw PPP loans granted to borrowers who meet the criteria are eligible for complete loan forgiveness, if within the 8to 24-week duration following loan payment:

  • The First Draw PPP loan requires that the employee and compensation levels be maintained in an identical manner.
  • The loan proceeds are spent on payroll costs and other expenses that are eligible and
  • At least 60% of proceeds go to expenses for payroll
  • How and when to apply for loan forgiveness

When all of the loan funds have been utilized the borrower is eligible to be granted forgiveness. Borrowers may apply for forgiveness at any time up to the date of maturity. If borrowers do not apply for forgiveness within 10 month after the date they will be able to repay the loan are able to receive payment from their PPP lender.

Download Regency Loan Forgiveness

Gallery of Regency Loan Forgiveness


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