April 1, 2020Share:
The application has been released for the Paycheck Protection Program (PPP) that authorizes up to $349 billion in forgivable loans to small businesses to pay their employees during the COVID-19 crisis.
Starting April 3, 2020, small businesses and sole proprietorships can apply for and receive loans to cover their payroll and other certain expenses through existing SBA lenders. Starting April 10, 2020, independent contractors and self-employed individuals can apply for and receive loans to cover their payroll and other certain expenses through existing SBA lenders.
We recommend gathering the following items in preparation:
• Copies of your payroll tax reports filed with the IRS and State Authority (Forms 941, 940, state income and tax filing reports) for the entire year of 2019 and first quarter of 2020 (if available).
• Copies of payroll reports for each pay period from 1/1/2019 to 3/31/2020. Reports should include gross wages including PTO. Each payroll report may include pay rate and total hours paid for all hourly employees by pay period.
• Documentation reflecting the health insurance premiums paid by the company under a group health plan including owners of the company from 1/1/2019 to 3/31/2020 (copies of monthly invoices should suffice).
• Documentation of all retirement plan funding by the employer from 1/1/2019 to 3/31/2020 (copies of workpapers, schedules and remittances to retirement plan administrator should be sufficient).
• Copies of 2019 Form W-3 as well as 2019 Form W-2s.
• List of all employees in excel format from 1/1/2019 to 3/31/2020 (if possible).
• Copies of all 2019 1099-MISC filed with the IRS (financial statements, tax returns, rent and utilities).
If you are planning on submitting an application we recommend you reach out to your local banker immediately.
Updated 4.1.2020 at 10:00 AM