If you received a payroll protection loan during the first draw, your deadline application Forgiveness – August 30, 2021.
Forgiveness applications are made through your lender or through the Small Business Administration’s PPP Loan Forgiveness Portal.
The first PPP loan is forgiven on August 30, 2021.
If you received a PPP loan, your insurance period begins on the day you make the loan. The duration of the insurance period can be from 8 to 24 weeks. The period covered would be indicated on your loan documents.
The deadline for applying for a PPP loan forgiveness expires 10 months after the end of the coverage period.
The usual end date of the covered period for the first round of the PPP loan draw was October 30, 2020. We count ten months ahead, and this is August 30, 2021.
Second Incentive Bill
The second round of leveraged PPP funds came from the second stimulus bill, which was passed on December 27, 2020.
If you received a PPP loan in the second draw, the deadlines for applying for a PPP loan forgiveness remain the same.
Know your covered period, which will be 8 to 24 weeks. The deadline for applying for forgiveness is 10 months after the end of the period covered.
Forgiveness statements through your lender
You can ask for forgiveness at any time after the end of the period covered. You don’t have to wait ten months.
There are three types of profiles:
- Form 3508S – Used when the PPP loan amount was less than USD 150,000.
- Form 3508EZ – Used when the number of employees has not decreased by more than 25%. Also used if you were unable to recover your original state due to health advice related to Covid.
- Form 3508 – You are working at the same power.
Please check with your lender for more details.