Does Turbotax Business prompt me to enter distributions from an S Corp and handle them appropriately?

[k2allar]

I know distributions are taxed differently than income, and I'm wondering if the Business package can handle them.

[re2boys]

The TT Business edition will prepare the 1120S tax return and the K-1s needed to be provided to each owner of the S-corp.  The K-1 is used by each owner to input into their individual 1040 tax returns.  TT Business does NOT prepare a 1040 return.

[k2allar]

Right, but the distribution has to be analyzed against the shareholder's stock basis, which doesn't appear anywhere on the 1120S or K-1, so I'm wondering if the Business package deals with distributions at all.

[msulka]

its not done correctly at all in TT--it only prints line 17 supplement 199A not a K-1

[Anonymous_ · Accepted solution]

" I'm wondering if the Business package deals with distributions at all."

Indeed it does in the interview section (see screenshots below) which, in turn, is reported on the appropriate forms.

[k2allar]

Thanks, Tag Team - that's just what I needed!  Appreciate your time and assistance.

[Anonymous_]

You are most welcome.

[Critter]

The TT Business edition can complete an S-corp return in full correctly. However, if you have never completed an 1120S form then you may want to seek professional assistance to do the first one and get educated.

[k2allar]

Thanks Critter, have you taken a distribution using the Business edition?

[fanfare]

Buy the package and go through the dialogs. If it doesn't make sense, come back here.
But I don't see many questions on the Business edition on this forum.