Dealine to file Form 3508S - Spidell

Dealine to file Form 3508S

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Message Board Dealine to file Form 3508S

  • This topic has 2 replies, 3 voices, and was last updated 1 week, 3 days ago by Steven Yukelson.
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    • #275513
      Cathy Cha
      Participant

      Is there a different deadline to file Form 3508S?

      Thank you.

    • #275584
      Larry Pon
      Participant

      You have to submit the PPP Loan Forgiveness Application by 10 months after the end of the covered period.  Otherwise, there will be no loan forgiveness.    You can submit before the covered period ends if the borrower qualifies for complete loan forgiveness.    This will be based upon the bank’s loan portal.   Some are open and many are not accepting loan forgiveness applications yet.

    • #275587
      Steven Yukelson
      Participant

      The SBA released guidance on October 13, 2020, confirming that PPP loan forgiveness applications are not due on October 31. In its answer found in Q&A #4 in the Paycheck Protection Program FAQ’s, as of October 13, 2020, the SBA explained the confusion surrounding the 10/31/20 expiration date found on the upper right corner on their Form 3508S.

      Question: The PPP loan forgiveness application forms (3508, 3508EZ, and 3508S) display an expiration date of 10/31/2020 in the upper-right corner. Is October 31, 2020 the deadline for borrowers to apply for forgiveness?

      Answer: No. Borrowers may submit a loan forgiveness application any time before the maturity date of the loan, which is either two or five years from loan origination.

      However, if a borrower does not apply for loan forgiveness within 10 months after the last day of the borrower’s loan forgiveness covered period, loan payments are no longer deferred and the borrower must begin making payments on the loan. For example, a borrower whose covered period ends on October 30, 2020 has until August 30, 2021 to apply for forgiveness before loan repayment begins.

      The expiration date in the upper-right corner of the posted PPP loan forgiveness application forms is displayed for purposes of SBA’s compliance with the Paperwork Reduction Act, and reflects the temporary expiration date for approved use of the forms. This date will be extended, and when approved, the same forms with the new expiration date will be posted.

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