Stock Basis In An S-Corporation?

[sjlocke]

As I said, the IRS says "That amount is then increased and/or decreased based on the pass-through amounts from the S corporation."  So, that's what I did.  Went back to the first year I filed as S, and added up all the pass through amounts I already paid taxes on, and used that as my basis.  And that more than covers my first loss by plenty.