"If '23 loss does not impact net taxable",
It's unclear how you can have a loss and net taxable.
example multiple debts
Debt basis in situations where there is multiple indebtedness requires a shareholder to allocate losses in excess of stock basis proportionately. Assume the following fact pattern: Shareholder Z holds four notes of an S corporation; tax basis at beginning of year (reduced basis due to prior losses). the first note is $1K, the second $2k, third $3K, and fourth note $4K. There are no payoffs of these notes during the year. The company has a $6,000 loss in excess of stock basis.
note 1 further reduced by 1/10 *6 or $600
note 2 further reduce by 2/10* 6 0r $1,200 an so on
your post is confusing so please provide more details.
I don't see how losses can ever restore debt basis.
