Coronavirus Aid, Relief, and Economic Security Act

Tue, May 26, 2020 at 01:43 pm EDT

The Small Business Administration (SBA), and the Department of the Treasury, released the Paycheck Protection Program (PPP) Loan Forgiveness Application on May 15, 2020. This application and information will help PPP recipients with loan forgiveness at the end of the coverage period which began with the disbursement date of the loan.

If you received a PPP loan from FAIRWINDS, we encourage you to review the Loan Forgiveness Application and begin collecting the necessary documentation to complete the application. A checklist is provided below to assist with this. We will inform you by email and on this website page when the loan forgiveness online application portal is live.

Loan Forgiveness Checklist

Printable List

1. PPP Loan Forgiveness Calculation Form
2. PPP Schedule A
3. Payroll: Documentation verifying the eligible cash compensation and non-cash benefit payments from the Covered Period or the Alternative Payroll Covered Period consisting of each of the following:
   1. Third-party payroll service provider reports documenting the amount of cash compensation paid to employees or bank account statements.
   2. Tax forms (or equivalent third-party payroll service provider reports) for the periods that overlap with the Covered Period or the Alternative Payroll Covered Period:
      1. Payroll tax filings reported, or that will be reported, to the IRS (typically, Form 941); and
      2. quarterly business and individual employee wage reporting and unemployment insurance tax filings reported, or that will be reported, to the relevant state.
   3. If applicable: Payment receipts, cancelled checks, or account statements documenting the amount of any employer contributions to employee health insurance and retirement plans that the Borrower included in the forgiveness amount (PPP Schedule A, lines (6) and (7)).
4. FTE: Documentation showing (at the election of the Borrower):
   1. The average number of FTE employees on payroll per month employed by the Borrower between February 15, 2019 and June 30, 2019;
   2. The average number of FTE employees on payroll per month employed by the Borrower between January 1, 2020 and February 29, 2020; or
   3. In the case of a seasonal employer, the average number of FTE employees on payroll per month employed by the Borrower between February 15, 2019 and June 30, 2019; between January 1, 2020 and February 29, 2020; or any consecutive twelve-week period between May 1, 2019 and September 15, 2019.

   
   The selected time period must be the same time period selected for purposes of completing PPP Schedule A, line 11. Documents may include payroll tax filings reported, or that will be reported, to the IRS (typically, Form 941) and state quarterly business and individual employee wage reporting and unemployment insurance tax filings reported, or that will be reported, to the relevant state. Documents submitted may cover periods longer than the specific time period.

5. Nonpayroll: Documentation verifying existence of the obligations/services prior to February 15, 2020 and eligible payments from the Covered Period.
   1. Business mortgage interest payments: Copy of lender amortization schedule and receipts or cancelled checks verifying eligible payments from the Covered Period; or lender account statements from February 2020 and the months of the Covered Period through one month after the end of the Covered Period verifying interest amounts and eligible payments.
   2. Business rent or lease payments: Copy of current lease agreement and receipts or cancelled checks verifying eligible payments from the Covered Period; or lessor account statements from February 2020 and from the Covered Period through one month after the end of the Covered Period verifying eligible payments.
   3. Business utility payments: Copy of invoices from February 2020 and those paid during the Covered Period and receipts, cancelled checks, or account statements verifying those eligible payments (business utilities include electricity, gas, water, transportation, telephone, or internet access for which service began before February 15, 2020).