The Fauquier Bank is committed to helping our clients and community in processing the Paycheck Protection Program (PPP). The SBA has provided the following guidance on how to proceed with submitting applications for this program.
Guide to SBA Paycheck Protection Program:
As the SBA/Treasury Department continue to finalize guidance for the banks to process applications, here is what will be required from the applicant in addition to the application:
- Employee wages for the last 12 months including paid time off, vacation, sick pay, family medical pay, etc.- contact your payroll provider for the report.
- Withholding for state and local taxes on employee compensation.
- Documentation showing how much, you, the employer paid in employee group health insurance premiums for the past 12 months. Your insurance company should be able to provide this.
- Documentation showing the amount of retirement plan funding the employer made for employees over the past 12 months [profit sharing 401(k) plans, cash balance plans, SIMPLE and SEP IRA’s].
* If your 2019 plan administration has been completed, you should use this as the basis for these figures. [Employees’ own 401(k) salary deferrals won’t count for these purposes].
Payroll costs do not include:
- Any compensation of an employee whose principal place of residence is outside of the United States;
- The compensation of an individual employee in excess of an annual salary of $100,000, prorated as necessary;
- Federal employment taxes imposed or withheld between February 15, 2020 and June 30, 2020, including the employee’s and employer’s share of FICA (Federal Insurance Contributions Act) and Railroad Retirement Act taxes, and income taxes require to be withheld from employees; and
- Qualified sick and family leave wages for which a credit is allowed under sections 7001 and 7003 of the Families First Coronavirus Response Act (Public Law 116-127).
TFB encourages you to refer to your CPA for specific payroll questions.
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