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

2 replies

Where am I?

In Multifunding SBA CoronaVirus Support you can ask and answer questions and share your experience with others!

Answered 10 months ago

Yes

Liked by Gina Wild

Answered 10 months ago

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.

My five person company has two partners, three employees. We're set-up as a S Corp. The majority (80-90%) of the ... or only the employee's payroll?

Are “S” Corps’ owners permitted to take distributions for taxes during this loan period?

For PPP 2.0, on the Average Monthly Payroll Calculation for S Corps, can you add in K1 amounts up to 100K for owners of ... Distributions on the others. Thanks!

Are single member LLC owners draws considered "payroll" for PPP?

In regards to the Payroll Protection Program (PPP), is the amount to borrow 2.5 times payroll with payroll being defined ... crucial to our specific business model.

If I was in business in 2019 but only started payroll in 2020, can I use the 2020 payroll to calculate the average monthly payroll for EIDL and PPP application?

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

Where am I?

Related Questions

Share Question