U.S. Treasury Releases Guidance on PPP Loan Forgiveness

Advocacy / Coronavirus

May 26, 2020

U.S. Treasury Releases Guidance on PPP Loan Forgiveness

By Steve Hall

Treasury has released new guidance on PPP loan forgiveness—which can be accessed here in the form of an interim final rule (IFR). 

Like the initial guidance on the PPP loan program in general, the IFR is open to public comment and may be refined further based on input from stakeholders. 

Based on our initial analysis, the guidance tracks closely with the loan forgiveness application that Treasury released last Friday, and provides some examples that could be helpful to firms in filling out the application.  It also answers questions related to whether loan forgiveness will be reduced if a laid off employee refuses an offer to return to work, or if an employee is fired for cause or resigns voluntarily.

We did not see additional information in the IFR regarding the final certification on page 4 of the loan forgiveness application that SBA can request additional information to determine the borrower’s eligibility.  The IFR does state that SBA may provide further guidance, if needed.  

ACEC will be offering a webinar on the loan forgiveness application process—please stay tuned for additional information. 

Steve Hall is ACEC Senior Vice President Advocacy.

All comments to blog posts will be moderated by ACEC staff.