As qualified to receive PPP dos, brand new three hundred restriction are Complete group, regular otherwise part-time. It is measured given that on average those people operating for every single pay attacks for 2020.
Q&A towards Worker Storage Borrowing
Into the ERC credit, if we taken out forgiveness toward PPP 1 loan using payroll inside an excellent twenty four-times months, is actually i nonetheless eligible for the fresh new ERC borrowing from the bank in other house?
Sure for those who are still an eligible Workplace in then quarters. Likewise, into the the amount you to PPP forgiveness spent on wages was reduced than complete earnings during the 25 %, you could lose wages in that quarter since the ERC-qualified (subject, of course, to the restrict regarding just plus $ten,one hundred thousand from certified wages per staff member). Observe 2021-20, point We allows PPP borrowers to use payroll can cost you included to your the latest PPP financing forgiveness application to be used as accredited wages towards the ERC provided the quantity isn’t needed to possess financing forgiveness.
To possess purposes of the fresh 2021 ERC, that is right. You ought to pick a heightened than simply 20% . As an alternative, you need Q4 2020 in the place of Q4 2019.Continue reading