PPP Forgiveness


Loan Forgiveness Applications for PPP Borrowers

Streamlined Loan Forgiveness Application Process for PPP Loans $150,000 or Less:

On 01/20/21, the Small Business Administration released a much-anticipated, streamlined loan forgiveness application for Paycheck Protection Program (PPP) loans totaling $150,000 or less. The new rule provides the one-page SBA Form 3508S forgiveness application that does not require calculations or documentation to be submitted with the application. Any borrower that uses SBA Form 3508S is exempt from any reductions in the borrower’s loan forgiveness amount based on reductions in full-time equivalent (FTE) employees or reductions in the employee salary or wages that would otherwise apply.

Forgiveness Application Form 3508S - this form is a fillable PDF for your convenience. It will open in a new window.

Forgiveness Application for PPP Loans Greater than $150,000:

On 01/20/21, the SBA also provided two updated applications for PPP Forgiveness for loans greater than $150,000: Form 3508 and Form 3508EZ.  (Both links open in new windows.)  The three-page EZ form requires less documentation and fewer calculations and applies to borrowers who meet any one of the following criteria:

  1. You applied for the PPP loan as self-employed, an independent contractor or a sole proprietor with no employees
  2. You did not reduce salary or wages for any employee by more than 25%, and did not reduce the number of employees (except laid-off employees who refused your offer to return)
  3. You did not reduce salary or wages for any employee by more than 25% during the covered period and experienced reductions in business activity as a result of COVID-19 health directives

If you do not meet any of the above criteria, you must complete Forgiveness Form 3508.


Each application provides instructions regarding the documentation that the borrower must submit to the bank at time of application, as well as documentation that the borrower must maintain but is not required to submit.

This process continues to evolve. Additional guidance may be released at any time from the SBA, and all guidance is subject to change.  The above summary of PPPFA is not a substitute for the more detailed instructions and procedures found on this Treasury website link.