UPDATED JULY 6, 2021 AT 8:30 AM
SBA Guidelines for PPP Loan Forgiveness are subject to change. This page will be updated upon issuance.
Lakeland Bank is now accepting forgiveness applications for 2020 and 2021 First and Second Draw PPP loans through our online portal.
If you received your First or Second Draw PPP loan through Lakeland Bank, you may begin, continue, or check the status of your Lakeland Bank First or Second Draw PPP forgiveness application(s) through our online portal. You will need your business’ EIN, the Authorized Representative’s email address and SSN to login.
Please review the following important information regarding 2020 and 2021 forgiveness applications.
- If you haven’t already done so, you must complete your 2020 First Draw PPP forgiveness application as soon as possible since there is a limited time period before you are required to make monthly payments on your PPP loan! If your forgiveness application is submitted to the SBA within the required timeframe, your monthly payments may be deferred until the SBA determines your forgiveness amount; and, if your PPP loan is fully forgiven, you will not be required to make any payments at all.
- You may not apply for forgiveness for a Second Draw PPP loan UNTIL you have completed a forgiveness application for your First Draw PPP loan. You must apply for forgiveness for your First Draw PPP loan with the lender that provided that loan to you.
- Our portal is setup with all of the SBA forgiveness application forms:
- If your First or Second Draw PPP loan is $150,000 or less, you may use the streamlined SBA Form 3508S and you may not need to provide documentation supporting the requested forgiveness amount with your application*. You may also choose to use one of the other two SBA forgiveness application forms, but both of these applications will require supporting documentation at the time of the forgiveness application.
- *If your Second Draw PPP loan is $150,000 or less and you did not submit your revenue reduction documentation with your original PPP loan application, you must provide it with your forgiveness application. Revenue reduction documentation must show that your gross receipts in any calendar quarter of 2020 were at least 25% lower than the same quarter of 2019.
- Further guidance on the revenue reduction documentation can be found here: PPP Revenue Reduction Documentation.
- If your First or Second Draw PPP loan is greater than $150,000, you may use either the SBA Form 3508 or 3508EZ and you will be able to upload the required supporting documentation directly in our portal.
During the forgiveness process, you may receive communication from the following email addresses:
- SBAPPPForgivenessCommunication at lakelandbank dot com
- News at LakelandBank dot com
- PayrollProtectionProgram at ExpressBankLoan dot com
- SBAPPPForgiveAdmin at LakelandBank dot com
- PPPSupport-Lakeland at Support dot BDO.com
- SBAPPPOriginationCommunication at lakelandbank dot com
Please be alert for any scam or fraudulent emails spoofing the Paycheck Protection Program or the Small Business Association.
Questions? View our tutorial videos to learn more about the online application process.
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As debt forgiveness is the key feature of the PPP loan, we wanted to ensure that use of the loan proceeds allows borrowers to remain fully eligible to maximize this opportunity. The program has specific requirements regarding Full-Time Equivalent and salary levels for employees. The SBA has advised that a borrower’s forgiveness opportunity may be reduced if its full-time headcount declines, or if salaries and wages decrease. The funds must have been used for payroll costs, mortgage interest, rent, utility payments and other eligible non-payroll costs over the Covered Period in order to be considered for forgiveness.
In your application for loan forgiveness, you must document the following:
Payroll costs:
- Salary, wages, commission or similar compensation (recent SBA guidance states that payroll costs include all cash compensation, including a housing stipend or allowance)
- Payments for vacation, parental, family, medical or sick leave
- Allowance for dismissal or separation
- Payments for the provision of group health care benefits, including insurance premiums
- Payments for retirement benefits
- State or local payroll taxes
Non-payroll costs:
- Interest payments on a mortgage incurred in the ordinary course of business on real or personal property and that was in existence on Feb. 15, 2020
- Rent payments under leasing agreements in existence on Feb. 15, 2020
- Utility payments for electricity, gas, water, transportation, telephone or internet for which service was in existence on Feb. 15, 2020
- NEW Economic Aid Act application forms will include the following additional eligible costs:
- Covered operations expenditures
- Covered property damage costs
- Covered supplier costs
- Covered worker protection expenditures
Tips for completing your SBA PPP Loan Forgiveness Application are located here.
Although generally described above, we encourage you to refer to the SBA’s website regarding forgiveness to ensure adherence to the program’s forgiveness eligibility requirements: PPP Loan Forgiveness. You may also wish to consult with your CPA or financial advisor for additional guidance.
All loans above $2 million will be audited by the SBA to ensure that they were made to eligible borrowers. All other loans are subject to audit by the SBA.
The U.S. Small Business Administration has been ordered by a federal judge to disclose the business name, address, and precise loan amounts for all PPP loan recipients. This information is being provided solely by the SBA.
