PPP was issued in 2020. Forgiveness will happen in early 2021. For a partnership entity,
a. Where to enter in Turbo Tax Business? As loan or something else?
b. How to account for salaries (distribution) paid from it to partners? Or As any expense ?
c. Will partners will have to pay FICA and taxes on it in their individual tax return as any regular income or do they have to do anything else? I believe some banks have cut FICA before distributing money as PPP.
d. In 2021 will need to figure out how to report it in Turbox Tax as forgiven loan. I can wait on it. 😀
it would have been very helpful had Turbo Tax issued any advisory for various possible entries in Turbo Tax on PPP. This is one of the most common question today. Cannot just say it is is book keeping issue and not tax issue. Or they should develop a wizard to derive to a correct answer. Thanks.
