Read it a few more times, nevertheless, and also you understand that this paragraph is determining the payroll expenses associated with receiver of this re payments, maybe perhaps not the payor. Whenever looked over during that lens, the above wording provides that the payroll price of an one-man shop taxpayer that has no workers of his or her very own is made up of any re re re payments of settlement he/she has gotten, be it a wage, payment, or web earnings from self work. It’s got nothing at all to do with computing payroll prices for the celebration INVESTING the contractor that is independent.
The SBA assisted explain this interpretation by issuing directions to its PPP application that explained paragraph bb what sort of CARES Act needs by saying that payroll costs consist of: For a single proprietor or separate specialist: wages, commissions, earnings, or web profits from self work, capped at $100,000 for an annualized foundation for every single worker.