If you look at an actual Sub-chapter S Schedule K-1at https://www.irs.gov/pub/irs-pdf/f1120ssk.pdf you'll see that Code V is listed as "Other information" and what form or schedule of the income tax return it goes on is listed as "See the shareholder's instructions", which are here https://www.irs.gov/pub/irs-pdf/i1120ssk.pdf . In other words Code V is essentially a "free text" area in which all sorts of information might go and so you can't mindlessly enter a dollar amount and have TurboTax put it someplace on your income tax return. You've got to figure this one out for yourself and go to the appropriate interview or form in TurboTax to make the entry.
The shareholder's instructions for Code V list some specific information that might be associated with the code and provide some guidance as to how the information would be used in the income tax return, but "gain on excess distribution" is not included. In cases like these the shareholder instructions read:
"10. Any other information you may need to file your return not shown elsewhere on Schedule K-1. The corporation should give you a description and the amount of your share for each of these items."
Gains on excess distributions are typically reported as capital gains using the "Stocks, Mutual Funds, Bonds, Other" interview.
Tom Young
