Rules for Payroll Protection Program Benefits for Self Employed Individuals and Partnerships Released
The SBA published new guidance yesterday for self-employed individuals and general partners who plan to apply for the Payroll Protection Program (PPP) loans.
The basic guidelines state that these individuals will calculate their requested loan amount based on their 2019 Form 1040 Schedule C - Profit or Loss from Business. This form is required to be submitted with the loan application. Additional documentation may also be required with the application.
Partners' loan applications will be based on the self employment income from their partnership tax return.
The SBA has published a list of frequently asked questions HERE. It is being updated periodically.
The PPP rules for other small businesses have changes on an almost daily basis. We expect ongoing procedural changes to these guidelines as loans are processed. Stay tuned.
We are searching for more clarity.
In the meantime, if you have questions about obtaining PPP funding for your business, we urge you to reach out directly to the Small Business Development Centers (SBDC). The SBDCs are part of the Small Business Administration. They are housed at local universities throughout the state. The SBDC staff are by far the most knowledgeable experts about the SBA rules. Best of all, their services are free.
Contact the Kennesaw State University SBDC staff at (470) 578-6450 and leave a message. They will respond to your call.
Excerpted from the Journal of Accountancy 4/14/20
The basic guidelines state that these individuals will calculate their requested loan amount based on their 2019 Form 1040 Schedule C - Profit or Loss from Business. This form is required to be submitted with the loan application. Additional documentation may also be required with the application.
Partners' loan applications will be based on the self employment income from their partnership tax return.
The SBA has published a list of frequently asked questions HERE. It is being updated periodically.
The PPP rules for other small businesses have changes on an almost daily basis. We expect ongoing procedural changes to these guidelines as loans are processed. Stay tuned.
We are searching for more clarity.
In the meantime, if you have questions about obtaining PPP funding for your business, we urge you to reach out directly to the Small Business Development Centers (SBDC). The SBDCs are part of the Small Business Administration. They are housed at local universities throughout the state. The SBDC staff are by far the most knowledgeable experts about the SBA rules. Best of all, their services are free.
Contact the Kennesaw State University SBDC staff at (470) 578-6450 and leave a message. They will respond to your call.
Excerpted from the Journal of Accountancy 4/14/20
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