AICPA Problems Accounting Guidance for PPP Loan Forgiveness
On June tenth, the AICPA issued Technical Question and response (TQA) 3200.18 , Borrower Accounting for a loan that is forgivable beneath the small company Administration Paycheck Protection Program . This guidance was posted to deal with accounting issues particular to Paycheck Protection Program (PPP) loan forgiveness for nongovernmental for-profit and entities which are nonprofit to supply each with alternative accounting techniques.
Accounting according to United States GAAP
Supplied specific conditions are met, a nongovernmental entity making use of accounting requirements in conformity with generally accepted accounting axioms when you look at the United States (US GAAP),