Discussion:1120S, Schedule M-2
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Discussion Forum Index --> Basic Tax Questions --> 1120S, Schedule M-2
Discussion Forum Index --> Tax Questions --> 1120S, Schedule M-2
| 20 May 2009 | |
| I am preparing a return for an accrual basis corporation that has accrued rent and commissions payable to the sole shareholder.
What do I do with these transactions on the M-2? | |
| May 20, 2009 | |
| Personally, I'd not have them on the income statement, and that would be it. If you do, then include them under items not deducted... | |
| 20 May 2009 | |
| My client wants the expenses on the financial so I am stuck with dealing with the tax return issue.
Do these items go in the AAA or in the Other Adjustments Account? | |
| May 20, 2009 | |
| Neither. They're not deducted on the return.......you have a book to tax difference. | |
Laketahoecpa (talk|edits) said: | 20 May 2009 |
| They should be reported on Schedule M-1, not M-2, as expenses deducted on books but not on tax return. | |
| 21 May 2009 | |
| I knew they belonged on the M-1 but kept on thinking they should also go on the M-2. I couldn't find anything on what to do with the M-2. I thought I was missing something... I guess not.
Thanks for your help JR1 and Laketahoecpa. | |
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