On June tenth, the AICPA issued Technical Question and response (TQA) 3200.18 , Borrower Accounting for a loan that is forgivable underneath the small company Administration Paycheck Protection Program . This guidance happens to be posted to deal with accounting issues particular to Paycheck Protection Program (PPP) loan forgiveness for nongovernmental for-profit and entities being nonprofit to present each with alternative accounting techniques.
Accounting according to United States GAAP
Supplied specific conditions are met, an entity that is nongovernmental accounting requirements in conformity with generally accepted accounting maxims into the United States (US GAAP), whether for-profit or nonprofit, may account fully for a PPP loan as a monetary obligation according to FASB ASC Topic 470, Debt . Continue reading “AICPA Problems Accounting Guidance for PPP Loan Forgiveness”