Did you loan the money to the individual or directly to the S-corp? If it were to the individual who then lent the money to the S-corp, I believe it should be the individual and the S-corp filing the form. The S-corp because the individual is discharging the corp from repaying him, and the individual because you are discharging him from repayment.
of course, I'm making assumptions because I'm not sure that I have all the facts. Complications would arise if the individual used the debt for basis in deducting S-Corp losses. that u
