It depends. You may need to include Form 7203 with your S-Corp return if you have:
- Claimed a deduction for your share of an aggregate loss from an S corporation (including an aggregate loss not allowed last year because of basis limitations),
- Received a non-dividend distribution from an S corporation,
- Disposed of stock in an S corporation (whether or not gain is recognized), or
- Received a loan repayment from an S corporation.
Form 7203 records stock share basis. You may wish to complete and retain Form 7203 even for years it is not required to be filed, as this will ensure your basis is consistently maintained year after year.
You don't need to file Form 7203 for prior years, as the form reports historical activity to date.
Read more from the IRS here: S Corporation Stock and Debt Basis
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