On May 13, 2020, the United States Treasury Department (the Treasury) issued an update to the PPP FAQs. The update includes Questions 46 and 47. Question 46 appears to be the “additional guidance” promised in the answer to Question 43, regarding how the Treasury will review a borrower’s certification to determine whether or not it was made in “good faith.”
The answer to Question 46, states,“Any borrower that, together with its affiliates, received PPP loans with an original principal amount of less than $2 million will be deemed to have made the required certification concerning the necessity of the loan request in good faith.”
Question 47, then extends the May 14 deadline for repayment of a PPP loan to May 18, giving PPP borrowers additional time to review this new guidance provided in Question 46. The current FAQs are available at the following link:
If we can assist you in explaining the programs’ provisions, analyzing the potential benefits or helping you with gathering the needed information, please call any Sponsel CPA Group Team member or our colleagues listed below.
Jason Thompson-Direct at 317-608-6694 or JThompson@sponselcpagroup.com
Eric Woodruff-Direct at 317-613-7850 or EWoodruff@sponselcpagroup.com
Lisa Blankman-Direct at 317-613-7856 or LBlankman@sponselcpagroup.com
This communication is intended to provide general information on legislative COVID-19 relief measures as of the date of this communication and may reference information from reputable sources. Although our firm has made every reasonable effort to ensure that the information provided is accurate, we make no warranties, expressed or implied, on the information provided. As legislative efforts are still ongoing, we expect that there may be additional guidance and clarification from regulators that may modify some of the provisions in this communication. Some of those modifications may be significant. As such, be aware that this is not a comprehensive analysis of the subject matter covered and is not intended to provide specific recommendations to you or your business with respect to the matters addressed.