Question
Determining S-Corp Shareholder Basis
Hello!
I have an S-Corp client that I took over for starting with the 2017 tax year. The company has been incorporated since 2009 and the books were in horrendous shape when I took them over. Since the IRS introduced Form 7203, I've wanted to see if I can properly determine shareholder cost basis. I'm currently asking the client to provide all prior K-1s starting with 2009. If they are unable to provide K-1s from that long ago, what should I do to ensure the Form 7203 has correct information reported on it?
Thank you!
