I've repeatedly completed this form and it keeps resetting to carry over my loss so it is not allowed this year.
I got all the values from my 1120S form which indicates based on the debt basis that the loss is allowable.
This is very frustrating as TT online does not provide any instructions for the form (they link to IRS instructions, but do not explain or color code cells as in Turbo Tax desktop business for example) and the calculated fields do not populate as values are entered. Even worse, all values I enter are deleted.
There are 2 options below the form: Refresh Calculations and Continue. Upon refresh, the caluculated fields to do not calculate, they erase. I think my problem is coming from Line 47, Col. e, where my loss is flowing to, regardless of whether I change it in Row 35.
So it seems this is coming from somewhere else in my return, although I do not see a way to zoom to that source field. When I press Continue, I get a message that my allowable loss is $0. and my loss is not allowable.
It would be helpful to have a TurboTax ".tax2024" file to test this issue further.
If you would be willing to send us a “diagnostic” file that has your “numbers” but not your personal information, please follow these instructions:
In TurboTax Desktop, open your return and go to Online in the TurboTax header. (On a Mac computer, choose Share or Help.)
We will then be able to see the same experience you are having. If we are able to determine the cause, we'll reply here and provide you with a resolution.
I completed your request yesterday. Please let me know when you have a status update.
Please post a screenshot of your complete token number and your state(s) to this thread, per the previous instructions.
@davidmilesfriedman
I'm not sure how to post the screen shot here. I see a place for a hyperlink but not an attachment.
You should be able to just copy and paste a screenshot.
Never mind. I see there is a camera icon. Let me try that.
Thank you for the token. Form 7203 for Shareholder #1 has no form errors. Entries in Part III for current year losses/deductions flow to the debt basis as expected. Edits to this information are preserved when the form is closed.
Since you are reporting a loss for the year, the entry in Part III reduces the Shareholder Debt Basis and is not carried over. Because there is no stock basis, the loss is not applied to Part I.
Part III Line 47(d) indicates the loss is allowable, based on the debt basis.
If you were expecting the loss to be reported differently, please provide more info.
The problem is in web based Turbotax when I attempt to enter this info for my personal taxes. The form is locked on carry over/unavailable.
In any event, I went through and figured out how to get this to work. TT was defaulting to say k-1 boxes 17 and 17 were occupied when they were not. By changing the drop downs on susequent screens to de select the code in those boxes (which are empty), it looks like TT is no longer forcing those fields to be occupied.
I am still having problems with this issue when I attempt to complete my personal 1040 form using TurboTax online. My entries to Form 7023 Part II made in Turbotax online do not save. Therefore I am getting an error.
"Sch K-1 Wks- S Corporations Form 7023: Line 35, column D should be blank when Part II, Line 29 Total column is zero."
What's happening here is that I was able to enter figures into 7023 Part III which equal my allowable loss. But it does not comport with the Part II fields which are blank because when I enter values it does not save them.
It makes sense that the Part II values should be entered by Turbo Tax will not save them after I spend a lot of time entering them.
I can't duplicate your error. You should clear your cache and cookies.
Here's how to clear your cache.
Here's how to delete your cookies.
I've cleared my cache and cookies and the Form 7023 Part II data still does not save after being entered and pressing "continue".
This has cost me several hours of re-entering and researching in an attempt to complete my return.
I think that there may be an error in the K-1 entry. Did you make sure to classify all of your investment as "at risk". And is it listed as a passive or an active activity? If it is a passive activity then your loss may be limited.
The only option TT is giving me is to edit/delete the value in Line 35, Col. D. because Part II is blank, as opposed to fixing Part II.
TT will also not accept an answer to the "More Info" screen for the K-1 business. I tried "None of these apply" but it will not save.
Ok. When entering numbers into the worksheet you entered a number onto line one for your basis at the beginning of the year, correct? And you entered the loss from box 1 of the K-1. So what is the amount on line 15 from Part I of the 7203?
There is no stock basis. There is debt basis.
So, 7203 Part I, Line 1 & 15 are 0.
Part II, lines 16,18,19,20,21,24,25,26,27,29,30,31 have values which I attempted to enter into TT for my 1040.
Part III has the loss in line 35 col. a & d, and 47 col. a & d.