More PPP guidance issued to address self-employed & partner income; loan forgiveness calculations
Wednesday, April 15, 2020
Posted by: Ann Lupo
SBA Updates PPP Guidance and FAQs
Late yesterday, the SBA issued additional guidance for the Paycheck Protection Program, and it specifically addresses the often-asked question of how self-employed and partner income should be included in the loan application.
Today, April 15th, the SBA has again updated its PPP Loan FAQs.
The new guidance discusses loan amounts and loan forgiveness calculations for individuals with self-employment income (with and without employees).
Additionally, the guidance clarifies that the self-employment income of general partners may be reported as a payroll cost, up to $100,000 annualized, on a PPP application filed by or on behalf of the partnership (and LLC filing taxes as a partnership).
Here’s a link to the Journal of Accountancy article, "SBA publishes new PPP guidance for the self-employed and general partners" and the SBA interim rule guidance.
Questions about the content of this Alert should be directed to LCPA State Government Relations Director Linda Babin.