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kathir2410
New Member

Which line in Form 1040 should I fill the Officers Compensation I have paid for myself (100 % ownership) from the S Corporation I own? Is it necessary to issue a W-2?

 
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IsabellaG
Expert Alumni

Which line in Form 1040 should I fill the Officers Compensation I have paid for myself (100 % ownership) from the S Corporation I own? Is it necessary to issue a W-2?

Yes, if you are an Officer in an S Corporation, your compensation needs to be reported on a W-2.

https://www.irs.gov/uac/Wage-Compensation-for-S-Corporation-Officers

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4 Replies
IsabellaG
Expert Alumni

Which line in Form 1040 should I fill the Officers Compensation I have paid for myself (100 % ownership) from the S Corporation I own? Is it necessary to issue a W-2?

Yes, if you are an Officer in an S Corporation, your compensation needs to be reported on a W-2.

https://www.irs.gov/uac/Wage-Compensation-for-S-Corporation-Officers

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
kathir2410
New Member

Which line in Form 1040 should I fill the Officers Compensation I have paid for myself (100 % ownership) from the S Corporation I own? Is it necessary to issue a W-2?

Thanks for the clarification
mbmsbea
Returning Member

Which line in Form 1040 should I fill the Officers Compensation I have paid for myself (100 % ownership) from the S Corporation I own? Is it necessary to issue a W-2?

can you show sample

 

Critter-3
Level 15

Which line in Form 1040 should I fill the Officers Compensation I have paid for myself (100 % ownership) from the S Corporation I own? Is it necessary to issue a W-2?

Your corporation needs to file a W-2/W-3 at the end of the year plus the annual 940 form  AND quarterly form 941s and any state forms needed.   If you have not been doing this then seek local professional guidance to get the late forms completed correctly.  

 

Once you have completed the corporate form correctly reporting the officer wages and the company paid taxes then anything left over will be reported on the K-1 form.  On the personal return you will enter the W-2 and the K-1 form that are issued to you.  

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