To address your specific questions:
- Your first question is asking about normal distributions. This addresses most S corporations.
- Your second question is asking if you distributed out dividend distributions. This would only be the case if the S corporation was a prior C corporation that converted to S corporation status and had accumulated earnings and profits. It would also apply if the S corporation acquired a C corporation that had earnings and profits. This is not a normal situation that would occur with 95%+ of TT users.
- To address the third question, they are not the same thing as explained above.
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
