Learn how to create and download your PPP Non-Payroll Expense Report.
Within QuickBooks, you're likely to have access to the information you need to help you apply for PPP loan forgiveness through your lender. This document explains which nonpayroll expenses may be eligible for forgiveness, and how to create your PPP Non-Payroll Expense Report.
What non-payroll expenses are eligible for loan forgiveness?
Non-payroll costs eligible for forgiveness include:
- Interest payments on business mortgage obligations for real or personal property incurred before February 15, 2020
- Business rent or lease payments for real or personal property in force before
- Business utility payments for the distribution of electricity, gas, water, transportation, telephone, or internet access for which service began before February 15, 2020
- Covered operations expenditures
- Covered property damage
- Covered vendor costs
- Covered worker protection expenditures
Eligible non-payroll costs may only account for up to 40% of the total forgiveness amount.
In order for Schedule C filers to seek forgiveness of these business costs, they must have been deductible on the 2019 Form 1040 Schedule C submitted with the loan application.
You must have paid or incurred these costs during your Loan Forgiveness Covered Period. If these costs were incurred during the Loan Forgiveness Covered Period, then you must pay for these costs before the next regular billing date. Your Loan Forgiveness Covered Period relevant to the calculation of your total loan forgiveness amount generally begins on the date you received your PPP funds from your lender.
If you received your PPP funds after June 5, 2020, your Loan Forgiveness Covered Period is 24 weeks. If you received your PPP funds before June 5, 2020, you can choose to use either an 8-week or a 24-week Loan Forgiveness Covered Period.
For example, if you received your PPP loan funds on Monday, April 20, the first day of your Loan Forgiveness Covered Period is Monday, April 20. Since your loan was made before June 5, 2020, you may elect to use either an 8-week or 24-week Loan Forgiveness Covered Period.
Your Loan Forgiveness Covered Period ends at the end of the 8 or 24 weeks.
For more detailed information about PPP Loan Forgiveness, including information about the documents you need to submit with your PPP Loan Forgiveness Application please view our Paycheck Protection Program loan forgiveness article.
Where can I find this info in QuickBooks?
Here's how to get the reports you need. Follow the steps below for your version of QuickBooks.
The estimated eligible forgivable nonpayroll business expenses contained in this report are based on the expense categories you manually selected and how you input them into QuickBooks. The categories and nonpayroll business expenses you selected may not be the same categories or nonpayroll business expenses eligible for forgiveness as authorized by the SBA and Treasury. QuickBooks Capital does not guarantee that any part of the estimated eligible forgivable non-payroll costs will be forgiven or that they are accurate or complete.
The use of the PPP loan proceeds listed above pertain to the forgivable amount of a PPP loan, and are not the only allowable uses of a PPP loan.
Regulations and guidance from the SBA and the U.S. Department of the Treasury on the PPP are evolving rapidly and the above information may be outdated. Please refer to the SBA and Treasury to confirm current program rules and how they apply to your particular situation.
The funding described is made available to businesses located in the United States of America and are not available in other locations.
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