Pablo
Level 3
12-07-2019
07:02 AM
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Accountant-Man
Level 13
12-07-2019
07:02 AM
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S corps don't have carryover losses, only the shareholders might.
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sjrcpa
Level 15
12-07-2019
07:02 AM
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Except for some states, such as CA and DC.
The more I know the more I don’t know.
The more I know the more I don’t know.
Pablo
Level 3
12-07-2019
07:02 AM
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Oops. Been awhile doing S Corps. Got it; suspended carryover loss gets applied on the S/H level. Thank you.
May I ask a follow up question/clarification to verify my thinking:
Suspended carryover loss from 2017 @ 90k. Basis 12/31/17 @ $0.
2018: profit $40k. If S/H distribution @ 40k, then cannot utilize any suspended loss
because Basis after income and distribution goes back to zero.
If didn't have any distribution, then can apply the suspended loss @ 40k.
Do I have this correct?
May I ask a follow up question/clarification to verify my thinking:
Suspended carryover loss from 2017 @ 90k. Basis 12/31/17 @ $0.
2018: profit $40k. If S/H distribution @ 40k, then cannot utilize any suspended loss
because Basis after income and distribution goes back to zero.
If didn't have any distribution, then can apply the suspended loss @ 40k.
Do I have this correct?
sjrcpa
Level 15
12-07-2019
07:02 AM
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yes
The more I know the more I don’t know.
The more I know the more I don’t know.
