PPP Loans: Reminder to Congregations to Apply for Loan Forgiveness if You Qualify
Do You Qualify?
If your congregation received one or more Paycheck Protection Program (PPP) Loans, it should qualify* for full loan forgiveness if, during the 8- to 24-week covered period following loan disbursement:
- Employee and compensation levels were maintained;
- The loan proceeds were spent on payroll costs and other eligible expenses; and
- At least 60% of the proceeds were spent on payroll costs.
*Please check the SBA pages (www.dioceseny.org/sba-ppp-forgiveness) for complete information.
When to Apply
- You can apply for forgiveness once all loan proceeds for which you request forgiveness have been used.
- You can apply for forgiveness any time up to the maturity date of the loan.
When Repayments Begin if You Don’t Apply
- If you do not apply for forgiveness within 10 months after the last day of the covered period, then PPP loan payments are no longer deferred, and you will begin making loan payments to your PPP lender.
How to Apply (and other details)
- For full details and links to necessary forms, please click here.