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Discussion Forum Index --> Tax Questions --> Capital Infusions
Chaplowj (talk|edits) said:
| 31 August 2006
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| if a s-corp had a net loss for the period and you want to know if the owner put capital in the company to cover any losses, where can you tell? sometimes on the k-1 from the s-corp, they reconcile the capital account and sumetimes its just this barcode looking thing. in this situation, the k-1 does not reconcile it. i would assume if there was a capital infusion that it would be located on the schedule m-2 or page 3 of the tax return. let me know. thanks in advance
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JR1 (talk|edits) said:
| August 31, 2006
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| It's not a K1 item. Ask him? There's no requirement to put basis info on the K1 either, yet we're supposed to be tracking that all along...so you've got to ask someone.
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Chaplowj (talk|edits) said:
| 31 August 2006
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| i figured if the schedule m-2 on the tax return would reconcile the equity of the company, therefore, it would show any infusions... or is this just reconciling the retained earnings??? also, if not there, i would have though schedule k, which is pages 2 and 3 would have it??? or maybe even the balance sheet, the difference between the common stock at the beginning of the year and the end of the year would be a good sign (but you would still have to ask about that). i am trying my best not to contact the customer in the fact they get annoyed with questions. jr, what do you think?
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JR1 (talk|edits) said:
| August 31, 2006
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| It's not going to be in the 1120S, anywhere. M2 just reconciles AAA, and many folks (who? not me...!) just plug for the net in or out, and that tells you not about individual shareholders...it's gonna take a call, but I'd call the preparer of the 1120S, unless it was me, in which case, don't call me. But that's the logical spot to start.
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Chaplowj (talk|edits) said:
| 31 August 2006
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| thanks again. hey, maybe i will become an accountant someday after all:) (my brother is a manager for PWC)
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