If you want to get your PPP loan forgiven, at least 60% of the funds must be used on payroll expenses and the remainder on rent or lease payments, mortgage interest, and utilities.
The following are all considered forgivable utilities expenses for the PPP:
Traditionally, "utilities" normally means electricity, water, gas, and sewage only. But as you can see, the PPP adds the additional categories of telephone, internet, and transportation costs.
The SBA has yet to release guidance on which expenses are included under the category of "transportation." Currently, our understanding is that eligible expenses for loan forgiveness must fall under transportation utility fees assessed by state and local governments. These are fees paid by businesses based on their use of the trasportation system.
All agreements must have been in place prior to February 15th, 2020. Any agreements that began after February 15 would not be eligible for forgiveness.
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