PatriciaV
Expert Alumni

Business & farm

The numbers for the CA Schedule M-2 flow from the federal form. Open Form 1120S p3-5 & scroll down to Sch M-2 Line 3. Green numbers were carried over from the prior year; blue are manual input that can be changed. If there is a zero in any of the lines under Line 3, you may delete them as long as the box doesn't stay/turn red.

 

If you're unable to delete the zeroes, click "QuickZoom" under Line D in the box at the top of Sch M-2 and open the Sch M2/Retained Earnings Worksheet. It's possible a total from this worksheet is flowing to Sch M-2. Once you fix this worksheet, the other form errors should be resolved.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"