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Business & farm
Where does my s-corp profit/loss get input to my personal 1040 tax form?
Absolutely nowhere on your *PERSONAL* 1040 tax return. The S-Corp will report it's own gains and losses on it's own 1120-S tax return. Then the S-Corp will issue you a K-1 that will show your "PERSONAL" gains and losses from/to the S-Corp. You'll enter that K-1 into your personal 1040 tax return when you get to that point in the program where it asks if you have any K-1's to enter.
Remember, an S-Corp is considered a physically separate entity. Therefore the S-Corp reports it's own losses and gains completely separate from your personal losses and gains. In fact, it's perfectly possible for the S-Corp to have massive gains and for you to have losses. The opposite is also true.
‎August 30, 2019
3:52 PM