Starbucks Student Loan Forgiveness

The U.S. Small Business Administration has released a 1-page form that makes it easier to apply for forgiveness of Paycheck Protection Program loans. It also includes newly revised forms to comply with the current stimulus law. 

The COVID-19 aid package Congress passed last month revived the PPP with $284 billion in funding for small businesses seeking forgiven loans to help to deal with the effects of economic collapse from the coronavirus pandemic. It included a requirement for the SBA to issue simplified forms within 24 hours after the legislation was approved by the lawmaker to streamline the procedure of applying for forgiveness, along with conditions designed to facilitate more bank loans by community banks, particularly for minority-owned businesses that were unable to obtain loans last year.

Starbucks Student Loan Forgiveness

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

Forgiveness terms for the first draw of PPP loans

Starbucks Student Loan Forgiveness – First Draw PPP loans made to eligible borrowers qualify for total loan forgiveness within the 8-to 24-week period after loan disbursement:

  • This is also true for pay and benefits for employees.
  • The loan proceeds are used on payroll costs and other expenses that are eligible and
  • At least 60% of profits are used for the cost of payroll

Second Draw PPP Loan Forgiveness The terms

Second Draw PPP loans to eligible borrowers can be eligible for loan repayment when the loan is paid within an 8 24 week period.

  • The First Draw PPP loan requires that the employee and compensation levels be maintained in the identical manner.
  • The proceeds of the loan could be used to pay for expenses for payroll or other expenses that are eligible.
  • At least 60% of proceeds go to expenses for payroll
  • How to apply for loan forgiveness and the time to apply

The borrower is eligible for forgiveness after the loan’s proceeds for which the borrower has applied for forgiveness have been utilized. Borrowers can request forgiveness at any time up to the loan’s maturity date. Borrowers who do not request forgiveness within 10 months of the end date of the loan are able to receive loan payments from their PPP lender.

Download Starbucks Student Loan Forgiveness

Gallery of Starbucks Student Loan Forgiveness

Leave a Comment