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Anonymous
Asked a question 11 months ago

S-corp distributions are not "payroll". So, it is only W2 wages that qualify under the PPP??

Where am I?

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Rishi Khan
CEO Extreme Scale Solutions

All income that is taxed with payroll tax counts. Because S-Corp distributions are not taxed as payroll, I don't think they count. So, for loan amount calculation, you can't do anything.

However, there is no reason you cannot start to pay yourself salary under the PPP covered period and get loan forgiveness.