Form 7203 Sharholder stock basis

[itsdhiraj]

So I have an S corp that had losses last year because I lost several client engagements. I am the sole owner of the company and Turbo tax is asking me to fill form 7203. How do I fill the stock basis?  When I say the stock basis is 100% at the beginning of the year, the form automatically calculates that basis to be 0 at the end of the year.

That is not true, right? Since I am the sole owner, my basis will always be 100% at the beginning or the end?

Can someone please help how to fill that?

[PatriciaV]

No, your basis could be zero if you distributed assets or had sufficient losses. You may wish to review the calculations on Form 7203 Line 1 - 15 and identify the adjustments that were made.

Refer to the IRS instructions for help in completing this form.

Completing Form 7203 is a complex and tedious process, and you may consider upgrading to TurboTax Live. This online service provides step-by-step guidance from a tax expert whenever you need assistance, either over the phone or by screensharing.