Our situation:
* We use Turbo Tax Business for filing our S-Corp taxes (a single person S-Corp)
* This software is used for generating a Schedule K-1 for a distribution from the S-Corp. The S-Corp pays a reasonable salary in wages, so the amount of the distribution is not my question.
* In 2020, we had a distribution of $22K that we need to claim as taxable on our personal income via a K-1 (we use TT Home and Bus for this).
* Cell 1 of that Schedule K-1 shows $73K, which is the net income of the business, which is obviously more than the $22K of the distribution. The amount of the distribution is given in cell 16D "Property Distributions".
Now to the problem: Upon entering the value in cell 1, our personal taxes are computed based on the $73K of cell 1, not on the $22K in cell 16, which can't be right since we only received the $22K.
But, where is the problem? In the K-1 generated by Turbo Tax Business or in entering that information into our personal taxes in Turbo Tax Home and Business?
Thanks in advance for any help.
