Form 7203 and K1 compleltion problem Personal Tax Return (1040) 2022

[NICAAC]

In 2022 I got the K1 of S-corp with a rental income of $3496 in box 2 of K1. Turbo tax asked me to complete 7203 when I put that number ($3496) in box 2 of K1 in preparation of 1040 of 2022 as I has had some loss in 2021.

 After putting all the numbers in stock basis, loan basis, debt basis I had to put $3831 in column 37 b, the loss amount carried over from yr 2021. 

This gives the following amount in row 47 (Total loss):

at column  47 b: $3831

at column 47 c: $3496

at column 47 e: $335

Turbotax instructs to change the amount in box 2 of K1 manually and to use negative sign if appropriate.

The instruction is confusing.

Should I use the amount : -$3496(e.g. minus 3496) or 0?

I will appreciate any help.

Thank you.

NI

After I complete 7203 Turbotax asks me to change the amount in box 2 of K1 

[PatriciaV]

If the S-Corp K-1 has a positive number in Box 2 for Rental Real Estate Income, you would enter that as a positive number on Form 7203.

[NICAAC]

Hi Miss Patricia,

I entered the followings in form 7203:

Part I:

1 Stock basis at the beginning of the corporation’s tax year: 0

3 (b):  Net rental real estate income : 3496

11. Allowable loss and deduction items. Enter the amount from line 47, column (c): 3496

The rest as I mentioned in my previous message.

After completion of form 7203 TurboTax asks to manually enter the data in K1 box 2. Should I enterl neg 3496 or 0?

I appreciate your response.

thank you 

[PatriciaV]

If the amount on Schedule K-1 Box 2 is zero, enter zero. If it is a positive $3,496, enter it exactly as it appears (don't add a minus sign in front).