Dear All,
Happy holidays everyone!
When I report the business sales of a s-corporation, on the final k-1s, do I need to take the shareholders basis into account when I report the gain and loss?
Thank you so much for your help!
Sylvia
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Thank for getting back to me on my question.
You are right, it won't be the final k-1, just confirmed with them and now they want to keep the corporation open for a little longer maybe will close in 2024.
Therefore, I just need to report the sales of the business on the return, and pass the capital gain through the k-1s, and when the corporation liquidate then they will use their basis to figure out the gain or loss on their personal return?
Thank you in advance!
Therefore, I just need to report the sales of the business on the return, and pass the capital gain through the k-1s, and when the corporation liquidate then they will use their basis to figure out the gain or loss on their personal return?
Correct.
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