Financial statement Accounting and you may Reporting Conditions
Within the Salary Safeguards Program (PPP), the us government authorizes doing $349 mil during the forgivable funds to help you small businesses during the COVID-19 crisis. Small enterprises get finance, and lots of has inquiries on exactly how to make up the amount of money, costs, and you may forgiveness inside their accounting information.
Already, no advice might have been provided to help you specifically target the new financial record bookkeeping and you will revealing conditions getting a program including the PPP. There’s specific general information within the accounting conditions awarded by the latest Financial Accounting Requirements Board that may be put on this problem. Get the full story below regarding faq’s we hear from our clients:
How to record brand new continues received off PPP? This new courtroom sort of an excellent PPP mortgage is actually a financial obligation appliance. As a result, the brand new proceeds should be showed just like the loans with the harmony sheet, following the Bookkeeping Requirements Codification (ASC) 470.
Is the PPP mortgage registered as quick-label or enough time-label obligations? Continue reading “ten Frequently asked questions: Bookkeeping to possess PPP Finance and you will Forgiveness”