Documentation to be provided for PPP Loan Forgiveness

You will need to provide the following documentation to substantiate your request for loan forgiveness, as required by the applicable forgiveness application form. You will be asked to submit the documentation electronically through our online PPP Forgiveness Portal. If these documents are not in digital form, please take the time to scan these and get them ready for upload. Please make sure all supporting documentation is uploaded to the Portal in the following file formats: pdf, xls, xlsx, csv, doc, docx, jpg, jpeg, and png. DO NOT upload ZIP files. With the exception of the 3509 or 3510 (if applicable) and any supporting documentation, all documents must be uploaded separately into each appropriate placeholder. Do not upload multiple documents as a single PDF document.

Loan Forgiveness Application Form 3508

Payroll

Please provide documentation for all payroll periods that overlapped with the Covered Period*:

Bank account statements or third-party payroll service provider reports documenting the amount of cash compensation paid to employees
Tax forms (or equivalent third-party payroll service provider reports) :
- 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
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

Non-Payroll

Business mortgage interest payments: Copy of lender amortization schedule and receipts verifying payments, or lender account statements
Business rent or lease payments: Copy of current lease agreement and receipts or cancelled checks verifying eligible payments
Business utility payments: Copies of invoices and receipts, cancelled checks or account statements
Covered operations expenditures: Copy of invoices, orders, or purchase orders paid during the Covered Period and receipts, cancelled checks, or account statements verifying those eligible payments
Covered property damage costs: Copy of invoices, orders, or purchase orders and receipts, cancelled checks, or account statements verifying those eligible payments, and documentation that the costs were related to property damage and vandalism or looting due to public disturbances that occurred during 2020 and such costs were not covered by insurance or other compensation
Covered supplier costs: Copy of contracts, orders, or purchase orders in effect at any time before the Covered Period (except for perishable goods), copy of invoices, orders, or purchase orders paid during the Covered Period and receipts, cancelled checks, or account statements verifying those eligible payments
Covered worker protection expenditures: Copy of invoices, orders, or purchase orders and receipts, cancelled checks, or account statements verifying those eligible payments, and documentation that the expenditures were used by the Borrower to comply with applicable COVID-19 guidance

An eligible non-payroll cost must be paid during the Covered Period or incurred during the Covered Period and paid on or before the next regular billing date, even if the billing date is after the Covered Period. Eligible non-payroll costs cannot exceed 40% of the total forgiveness amount.

Additionally, for business mortgage interest payment, business rent or lease payments, and business utility payments, documentation provided must verify existence of the obligation/services prior to February 15, 2020.

Full-Time Equivalent (FTE) Calculations

Documentation showing (at the election of the Borrower):

the average number of FTE employees on payroll per month employed by the Borrower between February 15, 2019 and June 30, 2019;
the average number of FTE employees on payroll per month employed by the Borrower between January 1, 2020 and February 29, 2020; or
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 February 15, 2019 and February 15, 2020.

Documents may include payroll tax filings reported or that will be reported on IRS Form 941 and state quarterly business and individual employee wage reporting and unemployment tax filings reported or that will be reported. Documents submitted may cover periods longer than specific time period.

The following documentation is not required for submission but must be maintained:

Documentation supporting the FTE and salary/wage reduction calculations, any job offers and refusals, firings for cause, voluntary resignations, and voluntary requests and reductions in hours as well as the safe harbor calculations.

If applicable, you should also retain documentation supporting the certification that you were unable to operate at the same level of business activity between certain dates (as stated in the application instructions) due to guidance issued by certain governing bodies, related to the maintenance of standards of sanitation, social distancing, or any other work or customer safety requirement related to COVID-19.

You should maintain these documents together with all records relating to the Borrower’s PPP loan, including documentation submitted with your PPP loan application, documentation supporting your certifications as to the necessity of the loan request and its eligibility for a PPP loan, documentation necessary to support your loan forgiveness application, and documentation demonstrating material compliance with PPP requirements.

You must retain all such documentation in your files for six years after the date the loan is forgiven or repaid in full, and permit authorized representatives of SBA, including representatives of its Office of Inspector General, to access such files upon request.

Loan Forgiveness Application Form 3508EZ

Payroll

Please provide documentation for all payroll periods that overlapped with the Covered Period*:

Bank account statements or third-party payroll service provider reports documenting the amount of cash compensation paid to employees
Tax forms (or equivalent third-party payroll service provider reports) :
- 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
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
If you checked only the second box on the checklist on page 1 of the 3508EZ instructions, the average number of full-time equivalent employees on payroll employed by the Borrower on January 1, 2020 and at the end of the Covered Period

Non-Payroll

Business mortgage interest payments: Copy of lender amortization schedule and receipts verifying payments, or lender account statements
Business rent or lease payments: Copy of current lease agreement and receipts or cancelled checks verifying eligible payments
Business utility payments: Copies of invoices and receipts, cancelled checks or account statements
Covered operations expenditures: Copy of invoices, orders, or purchase orders paid during the Covered Period and receipts, cancelled checks, or account statements verifying those eligible payments
Covered property damage costs: Copy of invoices, orders, or purchase orders and receipts, cancelled checks, or account statements verifying those eligible payments, and documentation that the costs were related to property damage and vandalism or looting due to public disturbances that occurred during 2020 and such costs were not covered by insurance or other compensation
Covered supplier costs: Copy of contracts, orders, or purchase orders in effect at any time before the Covered Period (except for perishable goods), copy of invoices, orders, or purchase orders paid during the Covered Period and receipts, cancelled checks, or account statements verifying those eligible payments
Covered worker protection expenditures: Copy of invoices, orders, or purchase orders and receipts, cancelled checks, or account statements verifying those eligible payments, and documentation that the expenditures were used by the Borrower to comply with applicable COVID-19 guidance

The following documentation is not required for submission but must be maintained:

If applicable, you should also retain:

Documentation supporting the certification that you did not reduce the number of employees or the average paid hours of employees between certain dates (as stated in the certifications on page 2 of the application). This documentation must include payroll records that separately list each employee and show the amounts paid to each employee between January 1, 2020 and the end of the Covered Period.
Documentation supporting the certification that you were unable to operate at the same level of business activity between certain dates (as stated in the application instructions) due to guidance issued by certain governing bodies, related to the maintenance of standards of sanitation, social distancing, or any other work or customer safety requirement related to COVID-19.

Loan Forgiveness Application Form 3508S

Borrowers using the 3508S application will not have to provide supporting documentation at the time of application; however, the SBA may request documentation as part of its loan review or audit processes.

You should maintain documentation of Payroll costs, Nonpayroll costs, and all records relating to your PPP loan, including documentation supporting you certifications as to your eligibility for a PPP loan, documentation necessary to support you loan forgiveness application, and documentation demonstrating your material compliance with PPP requirements.

You must retain all employment records/payroll documentation in your files for four years and all other documentation for three years after the date the loan forgiveness application was submitted to us and permit authorized representatives of SBA, including representatives of its Office of Inspector General, to access such files upon request.

Please see the instructions included in the application for additional information.

Additional Information on PPP Loan Forgiveness:

Please visit the SBA website for complete information on loan forgiveness. The forgiveness applications and accompanying instructions provide additional details on required documentation and can be accessed using the links below:

For PPP loans greater than $2 million:

Each for-profit Borrower that, together with its affiliates, received PPP loans with an original principal amount of $2 million or greater is required to complete SBA Form 3509 and submit it, along with the required supporting documents.

Likewise, each non-profit Borrower is required to complete SBA Form 3510 and submit it, along with the required supporting documents. The purpose of these forms is to facilitate the collection of supplemental information that will be used by SBA loan reviewers to evaluate the good-faith certification that you made on your PPP Borrower Application that economic uncertainty made the loan request necessary.

*Covered Period: As revised by recent SBA guidance, the Covered Period begins on the date the loan was originally disbursed. It ends on a date selected by the Borrower that is at least 8 weeks following the date of loan disbursement and not more than 24 weeks after the date of loan disbursement. For example, if the Borrower received their PPP loan proceeds on Monday, April 20, 2020, the first day of the Covered Period is Monday, April 20, 2020, and the final day of the Covered Period is any date selected by the Borrower between Sunday, June 14, 2020, and Sunday, October 4, 2020.