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How to combine my W2 from an employer and my S-Corp business in tax papers with Turbotax?

I have my own business and I work for another business receiving W2.
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2 Replies

How to combine my W2 from an employer and my S-Corp business in tax papers with Turbotax?

Do you need to prepare the S corp return or enter a K-1 from the S-corp?   You can enter your W2 and K-1 into Online Premium or any of the personal Desktop programs.

 

For the S corp you will need to use Turbo Tax Business.

TT Business is not available to do online or on a Mac. You can buy the Windows Desktop Business program here,
https://turbotax.intuit.com/small-business-taxes/cd-download

You can  have both Turbo Tax Business and a personal Desktop program installed on the same Windows computer at the same time.   You can buy the personal Desktop CD/Download program now here,
https://turbotax.intuit.com/personal-taxes/cd-download

 

rjs
Level 15
Level 15

How to combine my W2 from an employer and my S-Corp business in tax papers with Turbotax?

The S corp has to file a Form 1120-S S corp tax return, separate from your personal Form 1040 tax return. The S corp return will include a Schedule K-1 which you have to enter in your personal Form 1040 tax return. You also enter your W-2 in the same personal Form 1040 tax return. So the income from both sources is combined in your personal tax return. But you still have to file two tax returns, your personal 1040 and the 1120-S for the S corp.


If you are the only owner of the S corp and you received income from the S corp, the S corp must pay you "reasonable compensation" as an employee for the work that you performed. That means the S corp has to pay you as an employee, deduct taxes, and give you a W-2. You have to enter the W-2 from the S corp in your personal tax return, in addition to the W-2 from your other employer and the Schedule K-1.


The Form 1120-S tax return for the S corp for 2024 was due March 17, unless the S corp filed an extension. The penalties for late filing are steep.


You should probably consult a local tax professional for guidance on how to handle the taxes for your S corp.

 

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