Raja Imtiaz, 52, of Blackburn, claimed on his second loan application that it was his only request for support for his firm Al Fayroz Travel & Tourism Limited.
However, Imtiaz made the second application for the maximum £50,000 reward in summer 2020 just two weeks after securing an initial £50,000 loan.
He was jailed for 26 months during a hearing at Preston Crown Court last week. He has also been disqualified as a company director for six-and-a-half years.
It follows an investigation by the Insolvency Service. Chief investigator David Snasdell said Imtiaz "exploited a scheme designed to support small businesses during the pandemic".
"The rules of the Bounce Back Loan Scheme were crystal clear – businesses were only allowed a single loan," said Snasdell.
"Imtiaz’s dishonesty has landed him behind bars and serves as a warning that the Insolvency Service will relentlessly pursue fraudsters who so cynically abused Covid support schemes."
Al Fayroz Travel & Tourism Limited was established in October 2017, with Imtiaz becoming a director in November 2019. The two bounce back loan applications were made to separate banks in late June and early July 2020.
The Insolvency Service said Imtiaz fraudulently declared on the second application that it was his only application for a bounce back loan for the business.
In interviews with the Insolvency Service, Imtiaz claimed he had only made the second application because he was concerned the first loan request had not been approved.
However, investigators discovered this was dishonest as Imtiaz had already received the first £50,000 at the time of this second application.