Can a s-corp shareholder take distributions when retained earnings are negative?  For example, beginning of year RE (and AAA) are both -130K.  Income including PPP forgiveness is 80K.   Shareholder took 82K of distributions.  So ending RE would be -132K if allowed.  Can I adjust ending RE to balance Sch L?  Capital stock has minimal value.

Beginning of year stock basis is 0, but the 80K income would allow 80K of distributions and the extra 2K would be reported as capital gain on the shareholder's 1040.

I read the Intuit article dated 7/13/22 on this topic - implies you can force Proseries to allow these distributions on the M-2 "for certain circumstances" - when is it allowed?