The AICPA, with input from its members and the FASB staff, developed Technical Question and Answer (TQA) 3200.18, Borrower Accounting for a Forgivable Loan Received Under the Small Business Administration Paycheck Protection Program (PPP). The guidance is for nongovernmental entities, including business entities and not for profit entities. The guidance discusses the various models to be followed in accounting for the PPP loans. Companies should discuss the appropriate election for reporting these loans with their independent accountants.
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