TaxGuyBill
Level 15

@Nurcamila wrote:

Why falsify?

The previous accountant made mistakes: 

 

So, in fact, the family is eligible for child tax credit and earned income tax credit.

I was searching for the way to claim a credit, I found this way from proseries article: show the earnings from S corp if w2 wasn’t filed in SE adjustments part II, non farm income. 

I was looking for an advice: 

file w2 and then submit 1120s Or file 2553 (to change the tax regime to disregarded entity) and file 1040 schedule c

 


 

 

You want to falsify because somebody else made a mistake?  REALLY?

As it stands now, no, they don't qualify for the Child Tax Credit or EIC because they don't have any wages/salary or self employment income.  But see my prior answer and ask the client if they took "compensation" or not.

That is not a correct way, and I'm horrified that Intuit would even write that.

If this is the first year of being the corporation, they MIGHT be able to "withdraw" that election, but it would need to be done today ... which means I think it is too late.  Unless the 8832 to be taxed as a C-corporation was their "initial" election, they can't change again for five years.