S-Corp draw account

[RueW]

We own a country inn.  For over 20 years, I've used an Equity 'draw' account to keep track of cash paid in and paid out of our S-corp.  (We handle very little cash--almost all credit card receipts.)  We also have a sister LLC, which owns our land and buildings, which does not maintain a checking account, so we've paid tax bills, etc. from the main S-corp account through a draw, and we record a rent payment there, as well.  Historically, I've shown the balance of the draw accounts as a distribution at the end of the year, and have closed them to Retained Earnings on 1/1 of the next year.  However, for the past few years, our distributions have gone negative.  Up until this year, I've been able to show a negative distribution on our tax return, and all has been well.  This year, ProSeries isn't allowing me to show a negative distribution.  How should I handle this?  

[abctax55]

Hi there,

You’ve come to an Intuit site supporting tax professionals, and you may be looking for support as an individual taxpayer. Please visit the TurboTax Help site for support.

Cheers!

[RueW]

I am a tax professional (mostly retired).  Not looking for Turbo Tax help, but professional tax advice.

[BobKamman]

We are tax professionals, not country-inn-owner professionals.  Good luck with that.  

[RueW]

Sorry!  My original question apparently delved a little too deeply into my personal problem.  My Tax Question is: has there been a change in tax law that now will not allow a negative distribution to be entered on the M-2 Schedule, line 7?  And if so, does ProSeries have any instruction on the matter?