The U.S. Small Business Administration and Treasury issued an interim final rule Monday, Aug. 25, addressing Paycheck Protection Program (PPP) forgiveness issues related to owner-employee compensation and the eligibility of nonpayroll costs.
The interim final rule exempts owner-employees who have less than a 5% stake in a C or S corporation from the PPP owner-employee compensation rule for determining the amount of their compensation for loan forgiveness.
The guidance also details a few decisions designed to maintain equitable treatment between a business owner who holds property in a separate entity and one that holds the property in the same entity as its business operations. Learn more.