Form 7203 (S Corp Shareholder Stock & Debt Basis Limitation) entry in ordinary loss basis carryover amount doubles NOL in tax return. Is this a system error?

Forum|Forum|4 years ago
May 31, 2022
1 reply
26 views

My client has carryforward losses which are auto populated into the new tax return in the Income > Net Operating Loss screen. I am trying to complete Form 7203, however, when I enter the carryforward figures, in the Passthrough K-1s > S-Corp Info > Basis tab, it doubles the carryforward NOL in the tax return (Schedule 1 and also shows up on Schedule E). How do I get it to show on Form 7203 and not double on the tax return?

ProConnect Tax

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Best answer by PhoebeRoberts

Only losses suspended for lack of basis or at-risk get entered into the K-1 input screen and the 7203. If there's an NOL, those losses already got past the basis and at-risk hurdles.

PhoebeRoberts

Answer

Intuit Community Champion

Only losses suspended for lack of basis or at-risk get entered into the K-1 input screen and the 7203. If there's an NOL, those losses already got past the basis and at-risk hurdles.

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