payroll costs
(3) Payroll costs (A) In general The term “payroll costs” means— (i) any payment to an employee of compensation in the form of— (I) salary, wage, commission, or similar compensation; (II) payment of a cash tip or an equivalent; (III) payment for vacation, parental, family, medical, or sick leave; (IV) payment required for the provision of group health care or other group insurance benefits, including insurance premiums; (V) payment of a retirement benefit; (VI) payment of a State or local tax assessed on employees with respect to compensation; or (VII) paid administrative leave; and (ii) any payment of compensation to, or income of, a sole proprietor or independent contractor— (I) that is— (aa) a wage; (bb) a commission; (cc) income; (dd) net earnings from self-employment; or (ee) similar compensation; and (II) in an amount equal to not more than $100,000 during 1 calendar year, as prorated for the covered period. (B) Exclusions The term “payroll costs” does not include— (i) any compensation of an individual employee in excess of an annual salary of $100,000, as prorated for the covered period; (ii) any tax imposed or withheld under chapter 21, 22, or 24 of title 26 during the covered period; (iii) any compensation of an employee whose principal place of residence is outside the United States; (iv) any qualified sick leave wages for which a credit is allowed under section 7001 of the Families First Coronavirus Response Act ( 26 U.S.C. 3111 note; Public Law 116–127 ); (v) any qualified family leave wages for which a credit is allowed under section 7003 of that Act ( 26 U.S.C. 3111 note; Public Law 116–127 ); or (vi) any bonus, raise in excess of inflation, or other form of additional employee compensation.