Wednesday morning, the Treasury Department provided additional guidance regarding how SBA will review PPP borrowers' required good-faith certifications. All loan requests under $2 million will be deemed to have been made in "good faith" and the borrower's certification of necessity will not be scrutinized. If a borrower of a PPP loan over $2 million is found to have lacked the required basis for the certification of necessity, the borrower must repay the loan and will be ineligible for forgiveness. However, if the borrower (over $2 million) repays the loan after notice from SBA, additional enforcement action will not be taken. To view the most recent PPP guidance, please click here.
