target EIDL Grant

[amigas002]

Is the target EIDL grant taxable?

Do you have to report the amount you received on your taxes anywhere?

Thannks

[NancyDrew]

No.  Nothing specific needs to be done regarding your EIDL Grant.  It is not taxable income. 

If you report your business income on a Schedule C, there is no need to report it at all.

If you report your income from a Schedule K-1, it will already be reported as part of your Schedule K-1 as non-taxable income.

[ronaldg11]

Hi Amigas002,

The Consolidated Appropriations Act (CAA) provides that taxable income does not include EIDL grants.

https://www.jpspa.com/consolidated-appropriations-act-effect-ppp-eidl/

Economic injury disaster loans are not taxable for Federal and the expenses paid with this advance are deductible.

https://gpwcpas.com/grant-credit-loan-and-other-relief-comparison-chart/

https://ttlc.intuit.com/community/taxes/discussion/is-the-eidl-advance-grant-considered-taxable-inco...

Hope this helps,

Ron G

[NancyDrew]

Thank you for providing those links, ronaldg11!