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ppp grant

fish19835
Level 1

can a partners net income form schedule K-1 count as income for the PPP Loan

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2 Comments 2
IntuitJim
Employee
Employee

There are still many questions to be answered about PPP's. One of the questions sent to SBA is whether guaranteed payments to partners will qualify as payroll compensation- not sure yet. It would be unlikely the net income from the K-1 would be included as compensation, but we don't know. Since there are limited funds available, it doesn't hurt to apply now, and work out the details in underwriting. 

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abctax55
Level 15

PPP is a LOAN, with a potential forgiveness component.  It is not a grant.  There IS a difference.

HumanKind... Be Both