Partial sale of S corporation stock, how do I report that?

Me and another guy started a company in December 2009. In May/June of 2011 I sold part of my ownership to bring on other owners in the company. How/where do I report this income? I don't have any documentation or forms that show this amount.
    You don't report this income to the IRS.  This is part of your ownership, or "basis" in the corporation.  As long as you didn't get out more money than you had invested, you don't have income.
    • No...I started the company with about a 25000 investment, and sold about 2/3 of my ownership for 70000...I have some income here I would think.
    Yes, you have investment income from the sale of your s-corp stock.
    Figure your historical basis in each share, and then what you received for each share, and report this here:
    1. federal taxes tab
    2. Wages and Income page,
    3. choose "explore on my own"
    4. Investments
    5. Stocks, Mutual Funds, Bonds

    This is serious enough of a change for the business that I recommend you visit a tax attorney to ensure the change and treatment is sound, both for you and for the corporation.
    • Thanks, I'll look at that as an option. We had our accountant and attorney involved with the sale, but now it's just money in my account and I need to make sure I report it, because I want to pay the correct amount, and two, I certainly don't want to pay more than what I should pay!

      This should be long term capital gains from what I'm told. So I just want to make sure I report it correctly.
    • OK...the problem I have going this route is turbotax wants me to give it a stock symbol, and if I don't it won't continue. This seems like where I need to be adding this information, but it won't let me go past the symbol item. Any ideas?
    • You asked this question and got directions how to proceed under TurboTax which brought you to the same point where I got stymied. The program looks for info not appropriate. How did you proceed
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