Thank you SO MUCH for your detailed and time consuming response. It is very much appreciated. I assumed that I could put the entire repayment on Line 29 but I was not sure. Now I am at ease on this matter. I have to admit - I am doing my taxes manually without any software, on paper. This year I was going for the first time to try TT but I read about this problem, and decided against it. Since I haven't made the contribution yet to my 401K on Line 28, I simply reduced 401K by the repayment amount, so not to exceed the business income on Line 12.
Would you please be so kind to answer one more question if you know? On Form 4562 Depreciation...in the top right corner there is an entry that needs to be filled - Identifying number. I read and reread the instructions for this form, googled this question - nothing. At first I thought it was the code number for the type of business, then I decided it must be SSN but whose: my husband's since this is a joint return and he is primary or mine because this depreciation deduction goes on Schedule C for my small business? One would think that IRS instructions should be clear - it will take just a couple of words to solve.
Thank you in advance for your time.
