5‑60 Meaning of Eligible Payroll Costs a5‑60 Meaning of Eligible Payroll Costs and Eligible Employee

5‑60 Meaning of Eligible Payroll Costs and Eligible Employee

(1) Eligible Payroll Costs means the following amounts, as recorded in financial accounts: (a) employee compensation expenditures, including salaries, wages, stock‑based compensation and other expenditures that provide a direct and separate personal benefit to the employee (such as health insurance and pension contributions); (b) payroll and employment taxes; (c) employer social security contributions. (2) Eligible Employee of a Constituent Entity of an MNE Group means an individual who is: (a) an employee (including a part‑time employee) of the Constituent Entity; or (b) an independent contractor participating in the ordinary operating activities of the MNE Group under the direction and control of one or more Constituent Entities of the MNE Group.