Student Loan Forgiveness Form Great Lakes

Student Loan Forgiveness Form Great Lakes

The U.S. Small Business Administration has released a single-page form designed to make it easier for applicants to complete the application process to forgive Paycheck Protection Program loans, as well as newly updated and revised forms that comply with the latest stimulus legislation. 

The COVID-19 relief package that Congress passed last month revived the PPP with $284 billion in financing for small-scale businesses looking for forgiveness loans to help them deal with the financial fallout from the coronavirus pandemic. It included a requirement for the SBA to issue simplified forms within 24 days of the legislation being approved by the lawmaker to streamline the application process for forgiveness, along with conditions that aim to increase the number of bank loans by community banks, specifically for minority-owned businesses that struggled to get loans in the past.

Student Loan Forgiveness Form Great Lakes

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

Forgiveness terms for the first draw of PPP loans

Student Loan Forgiveness Form Great Lakes – First Draw PPP loans given to borrowers who meet the criteria are eligible for complete loan forgiveness if they do so during the 8- to 24-week covered period following the disbursement of loan:

  • The levels of compensation and employee pay are kept at a constant level.
  • The loan proceeds are spent on payroll costs as well as other expenses eligible for reimbursement; and
  • At least 60% of profits go towards the cost of payroll

Second Draw PPP Loan Forgiveness Conditions

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

  • The First Draw PPP loan requires that the employee and compensation levels are maintained in the exactly the same manner.
  • The proceeds of the loan could be used to pay for payroll costs or other eligible expenses.
  • At least 60% of profits go towards expenses for payroll
  • How to request loan forgiveness and when

After all loan funds have been utilized, a borrower can apply to be granted forgiveness. Borrowers can request forgiveness at any time up to the loan’s maturity date. Borrowers who do not request forgiveness within 10 month of the end date of the loan will be able to receive the loan payment from their PPP lender.

Download Student Loan Forgiveness Form Great Lakes

Gallery of Student Loan Forgiveness Form Great Lakes


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