I have a similar situation with an S-corp closing with outstanding loans from Shareholders. This was basically money contributed throughout the years. I have reclassified as paid in capital. there is 100.00 of Capital Stock, 77,002.00 of paid in capital and retained earnings is (77,102). I just am unclear how to do the sch D transaction that is discussed in this post. It would appear that the basis is zero and the sale is zero would you still input a sch d transaction for sale of the s corp with 0 sale and 0 basis.
Thank you for any help you can give me at this late date.
