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PPP Loan Forgiveness Documentation Requirements

This information explains the documentation requirements for Paycheck Protection Program loan forgiveness applications. Borrowers can use this guide to better understand what documents they will need to submit with their forgiveness application.

The SBA has a very specific list of things each borrower needs to submit with their forgiveness application. Our guidance below is based on the instructions for each form.

Page Index

Use the links shown to jump to the section of this page that matches the form you plan to use:

Forgiveness Form 3508S Required Documentation
Forgiveness Form 3508EZ Required Documentation
Forgiveness Form 3508 Required Documentation


Forgiveness Form 3508S Required Documentation

  • If you are applying for forgiveness for a Second Draw PPP loan, and you did not previously submit documentation to support the gross receipts reduction certification with your Second Draw loan application, you will need to submit them with your forgiveness application. See our Revenue Reduction Information page for specific details.
  • Form 3508S does not require any other documentation to be submitted with your forgiveness application, but applicants must keep the documents listed below with their records and be prepared to produce them on request.
  • You must keep the following documents:
    • Employee Payroll: Documentation verifying the eligible cash compensation and non-cash benefit payments from the Covered Period consisting of EACH of the following:
      • Bank account statements and self-prepared payroll reports 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) for the periods that overlap with the Covered Period:
        • i. Payroll tax filings reported, or that will be reported, to the IRS (typically, Form 941); and
        • ii. State quarterly business and individual employee wage reporting and unemployment insurance tax filings reported, or that will be reported, to the relevant state AND proof of payment such as bank statements, receipts, or cancelled checks. (Only required if these expenses are included in your requested forgiveness amount.)
      • Payment receipts, cancelled checks, or account statements documenting the amount of any employer contributions to employee group health, life, disability, vision or dental insurance and retirement plans that the Borrower included in the Requested Loan Forgiveness Amount. (Only required if these expenses are included in your requested forgiveness amount.)
    • Owner Payroll: Documentation verifying compensation for businesses that file Form 1040 Schedule C (Self Employed), Form 1040 Schedule F (Farmers), or Form 1065 (Partnerships), if not already included in above Employee Payroll documentation:
      • 2019 and/or 2020 tax documents:
        • 1040 Schedule C for Self-Employed/Sole Proprietor/Independent Contractor OR Schedule F for Self-Employed Farmer
        • 1099-MISC detailing nonemployee compensation received (Box 7)
        • 1065 including K-1s for Partnerships
      • Invoice, bank statement, or book of record establishing you were self-employed in 2019
      • A 2020 invoice, bank statement, or book of record establishing you were in operation on February 15, 2020
    • Nonpayroll: Non-payroll documents are required only if these expenses are included in your requested forgiveness amount. If your payroll costs are equal to or greater than your PPP loan amount, you do not need to document non-payroll costs. Also, each category of expenses is considered separately, so you only need to include documentation for the specific category included in your requested forgiveness amount.
      • a. Business mortgage interest payments:
        • Proof that the business mortgage obligation was in existence before February 15, 2020 (lender amortization schedule or lender account statement)
        • Copy of lender amortization schedule and receipts or cancelled checks verifying eligible payments from the Covered Period; OR lender account statements from February 2020 and the months of the Covered Period through one month after the end of the Covered Period verifying interest amounts and eligible payments.
      • b. Business rent or lease payments:
        • A rent or lease agreement showing the obligation was in place prior to February 15, 2020.
        • Copy of current lease agreement and receipts or cancelled checks verifying eligible payments from the Covered Period; OR lessor account statements from February 2020 and from the Covered Period through one month after the end of the Covered Period verifying eligible payments.
      • c. Business utility payments:
        • An invoice, bill, or statement documenting that the obligation was in place prior to February 15, 2020.
        • Copy of invoices from February 2020 and those paid during the Covered Period
        • Receipts, cancelled checks, or account statements verifying those eligible payments during the Covered Period.
      • d. Covered operations expenditures:
        • Copy of invoices, orders, or purchase orders paid during the Covered Period
        • Receipts, cancelled checks, or account statements verifying those eligible payments.
      • e. Covered property damage costs:
        • Copy of invoices, orders, or purchase orders paid during the Covered Period
        • Receipts, cancelled checks, or account statements verifying those eligible payments
        • 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.
      • f. 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
        • Receipts, cancelled checks, or account statements verifying those eligible payments.
      • g. Covered worker protection expenditures:
        • Copy of invoices, orders, or purchase orders paid during the Covered Period
        • Receipts, cancelled checks, or account statements verifying those eligible payments
        • Documentation that the expenditures were used by the Borrower to comply with applicable COVID-19 guidance during the Covered Period.
    • Other records: All records relating to the Borrower’s PPP loan, including:
      • Documentation submitted with its PPP loan application
      • Documentation supporting the Borrower’s certifications as to its eligibility for a PPP loan (including the Borrower’s gross receipt reduction certification for a Second Draw PPP Loan, if applicable)
      • Documentation necessary to support the Borrower’s loan forgiveness application
      • Documentation demonstrating the Borrower’s material compliance with PPP requirements.
  • Records Retention Requirement: The Borrower must retain all employment records/payroll documentation in its files for four years and all other documentation for three years after the date the loan forgiveness application is submitted to the lender, and permit authorized representatives of SBA, including representatives of its Office of Inspector General, to access such files upon request. The Borrower must provide documentation independently to a lender to satisfy relevant Federal, State, local or other statutory or regulatory requirements or in connection with an SBA loan review or audit.

Forgiveness Form 3508EZ Required Documentation

Documents You Must Submit

  • You must submit the following documents:
    • If you are applying for forgiveness for a Second Draw PPP loan, and you did not previously submit documentation to support the gross receipts reduction certification with your Second Draw loan application, you will need to submit them with your forgiveness application. See our Revenue Reduction Information page for specific details.
    • PPP Loan Forgiveness Calculation Form 3508EZ or lender’s electronic form equivalent
    • Employee Payroll: Documentation verifying the eligible cash compensation and non-cash benefit payments from the Covered Period consisting of EACH of the following:
      • Bank account statements and self-prepared payroll reports 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) for the periods that overlap with the Covered Period:
        • i. Payroll tax filings reported, or that will be reported, to the IRS (typically, Form 941); and
        • ii. State quarterly business and individual employee wage reporting and unemployment insurance tax filings reported, or that will be reported, to the relevant state AND proof of payment such as bank statements, receipts, or cancelled checks. (Only required if these expenses are included in your requested forgiveness amount.)
      • Payment receipts, cancelled checks, or account statements documenting the amount of any employer contributions to employee group health, life, disability, vision or dental insurance and retirement plans that the Borrower included in the Requested Loan Forgiveness Amount. (Only required if these expenses are included in your requested forgiveness amount.)
      • Documentation of 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 ONLY if you checked only the second box on the checklist on page one of the Form 3508 Instructions.
    • Owner Payroll: Documentation verifying compensation for businesses that file Form 1040 Schedule C (Self Employed), Form 1040 Schedule F (Farmers), or Form 1065 (Partnerships), if not already included in above Employee Payroll documentation:
      • 2019 and/or 2020 tax documents:
        • 1040 Schedule C for Self-Employed/Sole Proprietor/Independent Contractor OR Schedule F for Self-Employed Farmer
        • 1099-MISC detailing nonemployee compensation received (Box 7)
        • 1065 including K-1s for Partnerships
      • Invoice, bank statement, or book of record establishing you were self-employed in 2019
      • A 2020 invoice, bank statement, or book of record establishing you were in operation on February 15, 2020
    • Nonpayroll: Non-payroll documents are required only if these expenses are included in your requested forgiveness amount. If your payroll costs are equal to or greater than your PPP loan amount, you do not need to submit non-payroll costs. Also, each category of expenses is considered separately, so you only need to include documentation for the specific category included in your requested forgiveness amount.
      • a. Business mortgage interest payments:
        • Proof that the business mortgage obligation was in existence before February 15, 2020 (lender amortization schedule or lender account statement)
        • Copy of lender amortization schedule and receipts or cancelled checks verifying eligible payments from the Covered Period; OR lender account statements from February 2020 and the months of the Covered Period through one month after the end of the Covered Period verifying interest amounts and eligible payments.
      • b. Business rent or lease payments:
        • A rent or lease agreement showing the obligation was in place prior to February 15, 2020.
        • Copy of current lease agreement and receipts or cancelled checks verifying eligible payments from the Covered Period; OR lessor account statements from February 2020 and from the Covered Period through one month after the end of the Covered Period verifying eligible payments.
      • c. Business utility payments:
        • An invoice, bill, or statement documenting that the obligation was in place prior to February 15, 2020.
        • Copy of invoices from February 2020 and those paid during the Covered Period
        • Receipts, cancelled checks, or account statements verifying those eligible payments during the Covered Period.
      • d. Covered operations expenditures:
        • Copy of invoices, orders, or purchase orders paid during the Covered Period
        • Receipts, cancelled checks, or account statements verifying those eligible payments.
      • e. Covered property damage costs:
        • Copy of invoices, orders, or purchase orders paid during the Covered Period
        • Receipts, cancelled checks, or account statements verifying those eligible payments
        • 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.
      • f. 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
        • Receipts, cancelled checks, or account statements verifying those eligible payments.
      • g. Covered worker protection expenditures:
        • Copy of invoices, orders, or purchase orders paid during the Covered Period
        • Receipts, cancelled checks, or account statements verifying those eligible payments
        • Documentation that the expenditures were used by the Borrower to comply with applicable COVID-19 guidance during the Covered Period.

Documents You Must Maintain, But Do Not Need To Submit

  • Applicants must maintain several other documents detailed on Page 4 and Page 5 of the Form 3508EZ instructions.
  • Records Retention Requirement: The Borrower must retain all such documentation in its 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. The Borrower must provide documentation independently to a lender to satisfy relevant Federal, State, local or other statutory or regulatory requirements or in connection with an SBA loan review or audit.

Forgiveness Form 3508 Required Documentation

Documents You Must Submit

  • You must submit the following documents:
    • If you are applying for forgiveness for a Second Draw PPP loan, and you did not previously submit documentation to support the gross receipts reduction certification with your Second Draw loan application, you will need to submit them with your forgiveness application. See our Revenue Reduction Information page for specific details.
    • PPP Loan Forgiveness Calculation Form or or lender’s electronic form equivalent
    • PPP Schedule A or lender’s electronic form equivalent
    • Employee Payroll: Documentation verifying the eligible cash compensation and non-cash benefit payments from the Covered Period consisting of EACH of the following:
      • Bank account statements and self-prepared payroll reports 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) for the periods that overlap with the Covered Period:
        • i. Payroll tax filings reported, or that will be reported, to the IRS (typically, Form 941); and
        • ii. State quarterly business and individual employee wage reporting and unemployment insurance tax filings reported, or that will be reported, to the relevant state AND proof of payment such as bank statements, receipts, or cancelled checks. (Only required if these expenses are included in your requested forgiveness amount.)
      • Payment receipts, cancelled checks, or account statements documenting the amount of any employer contributions to employee group health, life, disability, vision or dental insurance and retirement plans that the Borrower included in the requested loan forgiveness amount (PPP Schedule A, lines (6) and (7)). (Only required if these expenses are included in your requested forgiveness amount.)
    • FTE Documentation: Documentation showing, at the election of the borrower, ONE of the following:
      • The average number of FTE employees on payroll per week employed by the Borrower between February 15, 2019 and June 30, 2019;
      • The average number of FTE employees on payroll per week 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 week employed by the Borrower between February 15, 2019 and June 30, 2019; between January 1, 2020 and February 29, 2020; or any consecutive 12-week period between February 15, 2019 and February 15, 2020.
        • The selected time period must be the same time period selected for purposes of completing PPP Schedule A, line 11.
      • Documents may include:
        • 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.
      • Documents submitted may cover periods longer than the specific time period.
    • Owner Payroll: Documentation verifying compensation for businesses that file Form 1040 Schedule C (Self Employed), Form 1040 Schedule F (Farmers), or Form 1065 (Partnerships), if not already included in above Employee Payroll documentation:
      • 2019 and/or 2020 tax documents:
        • 1040 Schedule C for Self-Employed/Sole Proprietor/Independent Contractor OR Schedule F for Self-Employed Farmer
        • 1099-MISC detailing nonemployee compensation received (Box 7)
        • 1065 including K-1s for Partnerships
      • Invoice, bank statement, or book of record establishing you were self-employed in 2019
      • A 2020 invoice, bank statement, or book of record establishing you were in operation on February 15, 2020
    • Nonpayroll: Non-payroll documents are required only if these expenses are included in your requested forgiveness amount. If your payroll costs are equal to or greater than your PPP loan amount, you do not need to submit non-payroll costs. Also, each category of expenses is considered separately, so you only need to include documentation for the specific category included in your requested forgiveness amount.
      • a. Business mortgage interest payments:
        • Proof that the business mortgage obligation was in existence before February 15, 2020 (lender amortization schedule or lender account statement)
        • Copy of lender amortization schedule and receipts or cancelled checks verifying eligible payments from the Covered Period; OR lender account statements from February 2020 and the months of the Covered Period through one month after the end of the Covered Period verifying interest amounts and eligible payments.
      • b. Business rent or lease payments:
        • A rent or lease agreement showing the obligation was in place prior to February 15, 2020.
        • Copy of current lease agreement and receipts or cancelled checks verifying eligible payments from the Covered Period; OR lessor account statements from February 2020 and from the Covered Period through one month after the end of the Covered Period verifying eligible payments.
      • c. Business utility payments:
        • An invoice, bill, or statement documenting that the obligation was in place prior to February 15, 2020.
        • Copy of invoices from February 2020 and those paid during the Covered Period
        • Receipts, cancelled checks, or account statements verifying those eligible payments during the Covered Period.
      • d. Covered operations expenditures:
        • Copy of invoices, orders, or purchase orders paid during the Covered Period
        • Receipts, cancelled checks, or account statements verifying those eligible payments.
      • e. Covered property damage costs:
        • Copy of invoices, orders, or purchase orders paid during the Covered Period
        • Receipts, cancelled checks, or account statements verifying those eligible payments
        • 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.
      • f. 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
        • Receipts, cancelled checks, or account statements verifying those eligible payments.
      • g. Covered worker protection expenditures:
        • Copy of invoices, orders, or purchase orders paid during the Covered Period
        • Receipts, cancelled checks, or account statements verifying those eligible payments
        • Documentation that the expenditures were used by the Borrower to comply with applicable COVID-19 guidance during the Covered Period.

Documents You Must Maintain, But Do Not Need To Submit

  • Applicants must maintain several other documents detailed on Page 7 and Page 8 of the Form 3508EZ instructions.
  • Records Retention Requirement: The Borrower must retain all such documentation in its 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. The Borrower must provide documentation independently to a lender to satisfy relevant Federal, State, local or other statutory or regulatory requirements or in connection with an SBA loan review or audit.