Discussion:S Corp debt exceeds basis
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| Revision as of 17:58, 13 October 2009 R2 (Talk | contribs) (You left out som) ← Previous diff |
Revision as of 18:16, 13 October 2009 JR1 (Talk | contribs) (Back up. Treat t) Next diff → |
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| {{ForumReplyPost|UserID=R2|Date=13 October 2009|Text=You left out some vital info. Was the fmv of the depreciable assets more than the basis of those assets?}} | {{ForumReplyPost|UserID=R2|Date=13 October 2009|Text=You left out some vital info. Was the fmv of the depreciable assets more than the basis of those assets?}} | ||
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| + | {{ForumReplyPost|UserID=JR1|Date=October 13, 2009|Text=Back up. Treat this is a sale of the assets for the amount of the loan and you'll figure it out.}} | ||
Revision as of 18:16, 13 October 2009
Discussion Forum Index --> Basic Tax Questions --> S Corp debt exceeds basis
Discussion Forum Index --> Tax Questions --> S Corp debt exceeds basis
| 13 October 2009 | |
| Bank took clients business for remaining debt. Remaining tax basis $104,110 (many assets). Debt forgiven $123,040. Recapture $18,930. Does anyone have an expedicious manner to get the recapture and avoid current year depr. I'm using Pro Series software. | |
| 13 October 2009 | |
| gosh why bother, if the bank got the corporate stock then it's their problem | |
| 13 October 2009 | |
| Each asset must be marked as sold and allocated a portion of the purchase price. If you have purchased Proseries Fixed Asset Manager, therre are tools to mass-sell assets.
I would research whether you need to "sell" the assets in general. If the bank took the assets it doesn't appear to me that they were sold - and the forgiveness of debt is a separate income item. However, I'm no expert in this area. | |
| 13 October 2009 | |
| They did'nt take the corporate stock. But between the bank and the landlord they kept the entire dental practice, including the equipment and patient medical records. | |
| 13 October 2009 | |
| I just spoke to the attorney for this client. He's of the opinion that the loan was fully satisfied by the equipment and practice. Thus there may not be forgiveness of debt. If no forgiveness of debt do I have any recapture? | |
| 13 October 2009 | |
| You left out some vital info. Was the fmv of the depreciable assets more than the basis of those assets? | |
| October 13, 2009 | |
| Back up. Treat this is a sale of the assets for the amount of the loan and you'll figure it out. | |
