QA #46 was published May 13, 2020, which is a regulation and has the force of law.    Now with clarity, any PPP borrower with a loan under $2 million will be protected under a “safe harbor” that they have borrowed the funds in “good faith.”

Prior the publication of this regulation, many such smaller borrowers were worried of the repercussions of SBA audit, if it was later found that the borrower did not need the money.

Now for any such small borrower, there will be no second-guessing of the good faith certification, and there is no chance of audit of the certification.