Box 16 code E information is applicable to a specific tax year as noted by TGB.
As a shareholder you need to be maintaining a basis schedule. In the case of shareholder loans, you need to maintain two separate basis schedules; one for capital contributions and S corporation annual activity and a second for any loans to the S corporation.
The information on line 16 code E provides the shareholder with the necessary details to (1) agree that the amount reflected is what in fact was repaid during the current year, and (2) is necessary to determine any capital gain on a loan repayment that has a face value less than the outstanding loan balance. This later issue will occur if a shareholder uses loan basis to take S corporation losses on their Schedule E.
*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.
