How do I fill out the basis info worksheet for an 1120S?

[accountingtaxes]

My firm has put me in charge of updating the basis for all of our 1120S clients so they'll be ready when we migrate to ProSeries 2019. What is the best way for me to calculate the basis for businesses we start tracking in 2018, and ensure everything is accurate and reported correctly moving forward?

[sjrcpa · Accepted solution]

Basis for S Corp shareholder generally equals:

Capital contributed

Plus all income items

Less all items of deduction and loss

Less distributions

For all years.

This does not account for stock acquired by gift or inheritance.

Then there may be loan basis if the shareholder loaned money to the corporation