Cougar, Inc., is a calendar year S corporation. Cougars For 1120S shows non-separately stated ordinary income of $80,000 for the year. Johnny owns 40% of the cougar stock throughout the year. The following information is obtained from the corporate records.
I need some help I am getting stuck filling this out the 1120S form on page 3, the teacher has provided us with the answers already so I know this is where I am getting stuck. If i could get some help with the calculations and reasoning behind them maybe I can wrap my brain around where I am getting stuck.
$ $ $ Tax-exempt interest income Salary paid to Johnny Charitable contributions Dividends received from a non-U.S. corporation short-term capital loss Depreciation recapture income Refund of prior state income taxes Cost of goods sold Long-term capital loss Administrative expenses Long-term capital gain Selling expenses Johnn's beginning stock basis Johnny's additional stock purchases Beginning AAA Johnny's loan to corporation $ $ $ $ $ $ $ $ $ $ $ 3,000 (52,000) (6,000) 5,000 (6,000) 11,000 5,000 (72,000) (7,000) (18,000) 14,000 (11,000) 32,000 9,000 31,000 20,000 Fom 11205 Income U.S. Income Tax Return for an S Corporation OMENO 1505-0123 Do not file this form unless the corporation has filed or is attaching Form 2553 to elect to be an S corporation. 2017 Department of the Trendy Go to www.irs.gov/Form11205 for instructions and the latest information, Infomal Rewenue Service For calendar year 2017 or tax year beginning 2017, ending . 20 A Selection effective date NATO D Employer identification number TYPE B Business activity code Numer, Strool, and room or no. If a PO, Box, 500 structions Dale incorporated number ( Intruction OR PRINT City or low, state or province, Country, and ZIP or foreign postal code Fo sses 300 instructions C Check if sch M 3 attached G Is the corporation electing to be an Scorporation beginning with this tax year? Yes No 1 "Yes,"attach Form 2553 if not already filed H Check it (1) Final return (2) Nome change (3) Address change (4) Amended retur (5) Selection termination or revocation | Enter the number of shareholders who were shareholders during any part of the tax your . . Caution: Include only trade or business income and expenses on lines 1a through 21. See the instructions for more information. 1a Gross receipts or sales.. . b Returns and allowances.......... e Balance. Subtract line 1b from line 1a . . . . Cost of goods sold (attach Form 1125-A). . 3 Gross profit. Subtract line 2 from line 1c... 4 Net gain (loss) from Form 4797, line 17 (attach Form 4797) Other income (los) (see instructions-attach statement) . . . . . . 6 Total income (loss). Add lines 3 through 5 . . . . . . 7 Compensation of officers (see instructions--attach Form 1125-E) Salaries and wages (less employment credits) Repairs and maintenance . . . . . . . . . . . Bad debts . . . . . . . . . . . . . . Rents. . . . . . . . . . . . . Taxes and licenses... . . . Interest . . . . . . Depreciation not claimed on Form 1125-A or elsewhere on return (attach Doplotion (Do not deduct oil and gas depletion.) Advertising . . . . . . Pension, profit-sharing, etc., plans. . . . . . 18 Employee benefit programs........... 19 Other deductions (attach statement) . . . . . . . 20 Total deductions. Add lines 7 through 19 . 21 Ordinary business income (loss). Subtract line 20 from line 6 21 22a Excess net passive Income or UFO recapture tax (se instructions) 22a b Tax from Schedule D (Form 1120S). . . . 22b Add lines 22a and 22b (see instructions for additional taxes) . . . 23a 2017 estimated tax payments and 2016 overpayment credited to 2017 23a b Tax deposited with Form 7004. . . . . . . . . . . . 23 Credit for federal tax paid on fuels (attach Form 4136) ... 230 d Add lines 23a through 23 . . . . . . . . . . . . . . 24 Estimated tax penalty (see instructions). Check if Form 2220 is attached . . . . .. O 24 25 Amount owed. If line 23d is smaller than the total of lines 22c and 24, enter amount owed . 25 26 Overpayment. If line 23d is larger than the total of lines 22 and 24, enter amount overpaid. 26 27 Enter amount from line 26 Credited to 2018 estimated tax Refunded 27 Under pers of pury, I care that this on , In c omparing and state , and to the best of my knowledge and t r ue Correct, and completa Declaration of preparer other than taxpayerisbaned on all information of which preparar hasany knowledge My s terolum Sign with the prepare shown below per Yes Here Signature of officer Date No Printlypo properor's namo Preparer's signature PIIN Paid Check sellem oyed Preparer Firm's name F 'S IN Use Only Fre's a tross For Paperwork Reduction Act Notice, see separate instructions. Cat No. 11510H Form 1120S (2017) see instructions for imitations) Deductions Tax and Payments Form 1120S (2017) Page 2 Schedule B Other Information (see instructions) 1 Check accounting method: a Cash b Accrual c Other (specify 2 See the instructions and enter the: a Business activity b Product or service 3 At any time during the tax year, was any shareholder of the corporation a disregarded entity, a trust, an estate, or a nominee or similar person? If "Yes,' attach Schedule B-1, Information on Certain Shareholders of an S Corporation 4 At the end of the tax year, did the corporation: Own directly 20% or more, or own, directly or indirectly, 50% or more of the total stock issued and outstanding of any foreign or domestic corporation? For rules of constructive ownership, see instructions. If "Yes," complete through (M below Name of Corporation Employer Kontification Number Country of M Percentage of Stock M Percentage in Mis 100%, Enter the frany) Incorporation Owned OOK Dale Iany) a Qualified Subcheplers Subsidiary Election Was Made b Own directly an interest of 20% or more, or own, directly or indirectly, an interest of 50% or more in the profit, loss, or capital in any foreign or domestic partnership (including an entity treated as a partnership) or in the beneficial interest of a trust? For rules of constructive ownership, see instructions. If "Yes," complete through (M) below Name of Entity Employer Kontification Number (1) Country of que Type of Entity (Tany M Madmum Percentage Owned in Profit Organization Loss Orca 5a At the end of the tax year, did the corporation have any outstanding shares of restricted stock? .. . . If "Yes," complete lines and (ii) below. Total shares of restricted stock.. . . . . . . . (i) Total shares of non-restricted stock . . . . . . . . b At the end of the tax year, did the corporation have any outstanding stock options, warrants, or similar instruments? If "Yes," complete lines) and (ii) below. 0 Total shares of stock outstanding at the end of the tax year 00) Total shares of stock outstanding if all instruments were executed 6 Has this corporation filed, or is it required to file, Form 8918, Material Advisor Disclosure Statement to provide information on any reportable transaction? Check this box if the corporation issued publicly offered debt instruments with original issue discount. . . . O If checked, the corporation may have to file Form 8281, Information Return for Publicly Offered Original Issue Discount Instruments If the corporation: (a) was a C corporation before it elected to be an S corporation or the corporation acquired an asset with a basis determined by reference to the basis of the asset for the basis of any other property) in the hands of a C corporation and (b) has net unrealized built-in gain in excess of the net recognized built-in gain from prior years, enter the net unrealized built-in gain reduced by net recognized built-in gain from prior years (see instructions) . . . . . . $ Enter the accumulated earnings and profits of the corporation at the end of the tax year. Does the corporation satisfy both of the following conditions? a The corporation's total receipts (see instructions) for the tax year were less than $250,000.. . . . b The corporation's total assets at the end of the tax year were less than $250,000 If "Yes," the corporation is not required to complete Schedules L and M-1. 11 During the tax year, did the corporation have any non-shareholder debt that was canceled, was forgiven, or had the terms modified so as to reduce the principal amount of the debt? . . . . . . If "Yes," enter the amount of principal reduction $ 12 During the tax year, was a qualified subchapter S subsidiary election terminated or revoked? If "Yes," see instructions. 13a Did the corporation make any payments in 2017 that would require it to file Form(s) 1099?.. . b If "Yes," did the corporation file or will it file required Forms 1099? . . Form 1120S (2017) Page 3 Total amount 2 3 14 Income (Loss) . . . . Deductions 9 10 11 12a 12b . 12 12d 13a . 13b 13C Credits 13d 13e 131 139 Form 1120S (2017) Schedule K Shareholders' Pro Rata Share Items 1 Ordinary business income (loss) (page 1, line 21). 2 Net rental real estate income (loss) (attach Form 8825).. . . 3a Other gross rental income (loss) . . . . . .. .. 3a b Expenses from other rental activities (attach statement) . . 3b c Other net rental income (loss). Subtract line 3b from line 3a . . . 4 Interest income.. 5 Dividends: a Ordinary dividends. . . . . . . . . ... ... . . . b Qualified dividends.. . .. .. ... 5b 6 Royalties . . . . . . 7 Net short-term capital gain (loss) (attach Schedule D (Form 11205)).. . . . . . 8a Net long-term capital gain (loss) (attach Schedule D (Form 11205)).... . . b Collectibles (28%) gain (loss). . . . . . . 8b . . . . c Unrecaptured section 1250 gain (attach statement) ... 8c 9 Net section 1231 gain (loss) (attach Form 4797) . . . . . . . . . . . 10 Other income (loss) (see instructions). . Type 11 Section 179 deduction (attach Form 4562) Geduction (attacn Form 450Z). . . . . . . . . . . . . . . . . . 12a Charitable contributions . . . . . . . . . " . . . . . . . . . . . . b Investment interest expense . . . . . . . . . . . . . . . . . . . c Section 59(e)2) expenditures (1) Type (2) Amount d Other deductions (see instructions)... Type 13a Low-income housing credit (section 42165))..... . . . b Low-income housing credit (other). . . . . . . . . . . . . . . . . c Qualified rehabilitation expenditures (rental real estate) (attach Form 3468, if applicable) d Other rental real estate credits (see instructions) Type e Other rental credits (see instructions) ... Type f Biofuel producer credit (attach Form 6478) . . . . . . . g Other credits (see instructions) .. Type 14a Name of country or U.S. Possession b Gross income from all sources . . . . . . . . c Gross income sourced at shareholder level . . . . . . Foreign gross income sourced at corporate level d Passive category . . . . . . . . . . . . . . . . . e General category . . . . . . . . . . . . . . . . . . . f Other (attach statement).. . . . Deductions allocated and apportioned at shareholder level g Interest expense . . . . . . . . . . . . . . . . . . . . . . h Other . . . . . . . . . . . . . . . . . . . . . . . Deductions allocated and apportioned at corporate level to foreign source income i Passive category . . . . . . . . . . . . . . . . . . . . . i General category . . . . . . . . . . . . . . . . . . . . . k Other (attach statement) . . . . . . . . . . . . . . . . . Other information I Total foreign taxes (check one) Paid Accrued . . . . . . . . . m Reduction in taxes available for credit (attach statement) . . . . . . . . . n Other foreign tax information (attach statement) 15a Post-1986 depreciation adjustment . . . . . . . . . . . . . . . . . b Adjusted gain or loss . . . . . . . . . . . . . . . . . . . . C Depletion (other than oil and gas) . . . . . . . . . . . . . . . . d Oil, gas, and geothermal properties-gross income . . . . e Oil, gas, and geothermal properties-deductions......... f Other AMT items (attach statement)... . 16a Tax-exempt interest income . . . . . . . . . . . . b Other tax-exempt income . . . . . . . c Nondeductible expenses .. . . . . . . . . . . . . . . . . . . d Distributions (attach statement if required) (see instructions) . . . . .. ... e Repayment of loans from shareholders... I 14c 14d 14e 14 Foreign Transactions 14k . . | 14m . Alternative Minimum Tax (AMT) Items 15a 15b 150 150 15e 15f 16a 16b Items Affecting Shareholder Basis 16c . . 160 16 16e Form 1120S (2017) Page 4 Total amount 17a Form 1120S (2017) Schedule K Shareholders' Pro Rata Share Items (continued) 17a Investment income..... b Investment expenses . . . . . . . . . . . . . . . . . . . . o e Dividend distributions paid from accumulated earnings and profits ........ E d Other items and amounts (attach statement) 17 17e Other ciliation Information Recon- 18 Schedule L Income/loss reconciliation. Combine the amounts on lines 1 through 10 in the far right column. From the result, subtract the sum of the amounts on lines 11 through 120 and 141 Balance Sheets per Books Beginning of tax year Assets 19 End of tax year 1 Cash . . . . . . . . 2a Trade notes and accounts receivable . . b Less allowance for bad debts..... 3 Inventories . . . . . . . . . . . 4 U.S. government obligations . . . 5 Tax-exempt securities (see instructions) . 6 Other current assets (attach statement) . 7 Loans to shareholders . . . . . . . 8 Mortgage and real estate loans.. 9 Other investments (attach statement) . . . 10a Buildings and other depreciable assets . b Less accumulated depreciation . . . 11a Depletable assets . . . . . . . . . b Less accumulated depletion..... 12 Land (net of any amortization) . . . 13a Intangible assets (amortizable only). . . . b Less accumulated amortization . . . . . Other assets (attach statement).... . 15 Total assets . . . . . . . . Liabilities and Shareholders' Equity 16 Accounts payable . . . . . . Mortgages, notes, bonds payable in less than 1 year 18 Other current liabilities (attach statement) 19 Loans from shareholders . . . . 20 Mortgages, notes, bonds payable in 1 year or more 21 Other liabilities (attach statement) . 22 Capital stock. . . . . . . . . . 23 Additional paid-in capital . . . . . . 24 Retained earnings . . . . . . . 25 Adjustments to shareholders' equity (attach statement) 26 Less cost of treasury stock . 27 Total liabilities and shareholders' equity . Form 1120S 2017) Form 1120S (2017) Page 5 Schedule M-1 Reconciliation of Income (Loss) per Books With Income (Loss) per Return Note: The corporation may be required to file Schedule M-3 (see instructions) 1 Net income (loss) per books . . . . . . 5 Income recorded on books this year not included 2 Income included on Schedule K, lines 1, 2, 3, 4, on Schedule K, lines 1 through 10 itemize 5a, 6, 7, 8, 9, and 10, not recorded on books this a Tax-exempt interest $ year (itemize).. Expenses recorded on books this year not 6 Deductions included on Schedule K, included on Schedule K, lines 1 through 12 and lines 1 through 12 and 141, not charged 141 (itemize): against book income this year (itemize): Depreciation $ a Depreciation $ b Travel and entertainment $ 7 Add lines 5 and 6 . . . . 4 Add lines 1 through 3 . . . . . . 8 Income loss) (Schedule K, line 18). Line 4 less line 7 Schedule M-2 Analysis of Accumulated Adjustments Account, Other Adjustments Account, and Shareholders' Undistributed Taxable income Previously Taxed (see instructions) (a) Accumulated (b) Other adjustments (c) Shareholders' undistributed adjustments account account taxable income previously taxed 1 Balance at beginning of tax year. . . . . 2 Ordinary income from page 1, line 21 . . . Other additions.. . 4 Loss from page 1, line 21 . . . . . . . 5 Other reductions. . . . . . . . . . 6 Combine lines 1 through 5. . . . . . . 7 Distributions other than dividend distributions 8 Balance at end of tax year. Subtract line 7 from line 6 Form 1120S (2017) $ $ $ Tax-exempt interest income Salary paid to Johnny Charitable contributions Dividends received from a non-U.S. corporation short-term capital loss Depreciation recapture income Refund of prior state income taxes Cost of goods sold Long-term capital loss Administrative expenses Long-term capital gain Selling expenses Johnn's beginning stock basis Johnny's additional stock purchases Beginning AAA Johnny's loan to corporation $ $ $ $ $ $ $ $ $ $ $ 3,000 (52,000) (6,000) 5,000 (6,000) 11,000 5,000 (72,000) (7,000) (18,000) 14,000 (11,000) 32,000 9,000 31,000 20,000 Fom 11205 Income U.S. Income Tax Return for an S Corporation OMENO 1505-0123 Do not file this form unless the corporation has filed or is attaching Form 2553 to elect to be an S corporation. 2017 Department of the Trendy Go to www.irs.gov/Form11205 for instructions and the latest information, Infomal Rewenue Service For calendar year 2017 or tax year beginning 2017, ending . 20 A Selection effective date NATO D Employer identification number TYPE B Business activity code Numer, Strool, and room or no. If a PO, Box, 500 structions Dale incorporated number ( Intruction OR PRINT City or low, state or province, Country, and ZIP or foreign postal code Fo sses 300 instructions C Check if sch M 3 attached G Is the corporation electing to be an Scorporation beginning with this tax year? Yes No 1 "Yes,"attach Form 2553 if not already filed H Check it (1) Final return (2) Nome change (3) Address change (4) Amended retur (5) Selection termination or revocation | Enter the number of shareholders who were shareholders during any part of the tax your . . Caution: Include only trade or business income and expenses on lines 1a through 21. See the instructions for more information. 1a Gross receipts or sales.. . b Returns and allowances.......... e Balance. Subtract line 1b from line 1a . . . . Cost of goods sold (attach Form 1125-A). . 3 Gross profit. Subtract line 2 from line 1c... 4 Net gain (loss) from Form 4797, line 17 (attach Form 4797) Other income (los) (see instructions-attach statement) . . . . . . 6 Total income (loss). Add lines 3 through 5 . . . . . . 7 Compensation of officers (see instructions--attach Form 1125-E) Salaries and wages (less employment credits) Repairs and maintenance . . . . . . . . . . . Bad debts . . . . . . . . . . . . . . Rents. . . . . . . . . . . . . Taxes and licenses... . . . Interest . . . . . . Depreciation not claimed on Form 1125-A or elsewhere on return (attach Doplotion (Do not deduct oil and gas depletion.) Advertising . . . . . . Pension, profit-sharing, etc., plans. . . . . . 18 Employee benefit programs........... 19 Other deductions (attach statement) . . . . . . . 20 Total deductions. Add lines 7 through 19 . 21 Ordinary business income (loss). Subtract line 20 from line 6 21 22a Excess net passive Income or UFO recapture tax (se instructions) 22a b Tax from Schedule D (Form 1120S). . . . 22b Add lines 22a and 22b (see instructions for additional taxes) . . . 23a 2017 estimated tax payments and 2016 overpayment credited to 2017 23a b Tax deposited with Form 7004. . . . . . . . . . . . 23 Credit for federal tax paid on fuels (attach Form 4136) ... 230 d Add lines 23a through 23 . . . . . . . . . . . . . . 24 Estimated tax penalty (see instructions). Check if Form 2220 is attached . . . . .. O 24 25 Amount owed. If line 23d is smaller than the total of lines 22c and 24, enter amount owed . 25 26 Overpayment. If line 23d is larger than the total of lines 22 and 24, enter amount overpaid. 26 27 Enter amount from line 26 Credited to 2018 estimated tax Refunded 27 Under pers of pury, I care that this on , In c omparing and state , and to the best of my knowledge and t r ue Correct, and completa Declaration of preparer other than taxpayerisbaned on all information of which preparar hasany knowledge My s terolum Sign with the prepare shown below per Yes Here Signature of officer Date No Printlypo properor's namo Preparer's signature PIIN Paid Check sellem oyed Preparer Firm's name F 'S IN Use Only Fre's a tross For Paperwork Reduction Act Notice, see separate instructions. Cat No. 11510H Form 1120S (2017) see instructions for imitations) Deductions Tax and Payments Form 1120S (2017) Page 2 Schedule B Other Information (see instructions) 1 Check accounting method: a Cash b Accrual c Other (specify 2 See the instructions and enter the: a Business activity b Product or service 3 At any time during the tax year, was any shareholder of the corporation a disregarded entity, a trust, an estate, or a nominee or similar person? If "Yes,' attach Schedule B-1, Information on Certain Shareholders of an S Corporation 4 At the end of the tax year, did the corporation: Own directly 20% or more, or own, directly or indirectly, 50% or more of the total stock issued and outstanding of any foreign or domestic corporation? For rules of constructive ownership, see instructions. If "Yes," complete through (M below Name of Corporation Employer Kontification Number Country of M Percentage of Stock M Percentage in Mis 100%, Enter the frany) Incorporation Owned OOK Dale Iany) a Qualified Subcheplers Subsidiary Election Was Made b Own directly an interest of 20% or more, or own, directly or indirectly, an interest of 50% or more in the profit, loss, or capital in any foreign or domestic partnership (including an entity treated as a partnership) or in the beneficial interest of a trust? For rules of constructive ownership, see instructions. If "Yes," complete through (M) below Name of Entity Employer Kontification Number (1) Country of que Type of Entity (Tany M Madmum Percentage Owned in Profit Organization Loss Orca 5a At the end of the tax year, did the corporation have any outstanding shares of restricted stock? .. . . If "Yes," complete lines and (ii) below. Total shares of restricted stock.. . . . . . . . (i) Total shares of non-restricted stock . . . . . . . . b At the end of the tax year, did the corporation have any outstanding stock options, warrants, or similar instruments? If "Yes," complete lines) and (ii) below. 0 Total shares of stock outstanding at the end of the tax year 00) Total shares of stock outstanding if all instruments were executed 6 Has this corporation filed, or is it required to file, Form 8918, Material Advisor Disclosure Statement to provide information on any reportable transaction? Check this box if the corporation issued publicly offered debt instruments with original issue discount. . . . O If checked, the corporation may have to file Form 8281, Information Return for Publicly Offered Original Issue Discount Instruments If the corporation: (a) was a C corporation before it elected to be an S corporation or the corporation acquired an asset with a basis determined by reference to the basis of the asset for the basis of any other property) in the hands of a C corporation and (b) has net unrealized built-in gain in excess of the net recognized built-in gain from prior years, enter the net unrealized built-in gain reduced by net recognized built-in gain from prior years (see instructions) . . . . . . $ Enter the accumulated earnings and profits of the corporation at the end of the tax year. Does the corporation satisfy both of the following conditions? a The corporation's total receipts (see instructions) for the tax year were less than $250,000.. . . . b The corporation's total assets at the end of the tax year were less than $250,000 If "Yes," the corporation is not required to complete Schedules L and M-1. 11 During the tax year, did the corporation have any non-shareholder debt that was canceled, was forgiven, or had the terms modified so as to reduce the principal amount of the debt? . . . . . . If "Yes," enter the amount of principal reduction $ 12 During the tax year, was a qualified subchapter S subsidiary election terminated or revoked? If "Yes," see instructions. 13a Did the corporation make any payments in 2017 that would require it to file Form(s) 1099?.. . b If "Yes," did the corporation file or will it file required Forms 1099? . . Form 1120S (2017) Page 3 Total amount 2 3 14 Income (Loss) . . . . Deductions 9 10 11 12a 12b . 12 12d 13a . 13b 13C Credits 13d 13e 131 139 Form 1120S (2017) Schedule K Shareholders' Pro Rata Share Items 1 Ordinary business income (loss) (page 1, line 21). 2 Net rental real estate income (loss) (attach Form 8825).. . . 3a Other gross rental income (loss) . . . . . .. .. 3a b Expenses from other rental activities (attach statement) . . 3b c Other net rental income (loss). Subtract line 3b from line 3a . . . 4 Interest income.. 5 Dividends: a Ordinary dividends. . . . . . . . . ... ... . . . b Qualified dividends.. . .. .. ... 5b 6 Royalties . . . . . . 7 Net short-term capital gain (loss) (attach Schedule D (Form 11205)).. . . . . . 8a Net long-term capital gain (loss) (attach Schedule D (Form 11205)).... . . b Collectibles (28%) gain (loss). . . . . . . 8b . . . . c Unrecaptured section 1250 gain (attach statement) ... 8c 9 Net section 1231 gain (loss) (attach Form 4797) . . . . . . . . . . . 10 Other income (loss) (see instructions). . Type 11 Section 179 deduction (attach Form 4562) Geduction (attacn Form 450Z). . . . . . . . . . . . . . . . . . 12a Charitable contributions . . . . . . . . . " . . . . . . . . . . . . b Investment interest expense . . . . . . . . . . . . . . . . . . . c Section 59(e)2) expenditures (1) Type (2) Amount d Other deductions (see instructions)... Type 13a Low-income housing credit (section 42165))..... . . . b Low-income housing credit (other). . . . . . . . . . . . . . . . . c Qualified rehabilitation expenditures (rental real estate) (attach Form 3468, if applicable) d Other rental real estate credits (see instructions) Type e Other rental credits (see instructions) ... Type f Biofuel producer credit (attach Form 6478) . . . . . . . g Other credits (see instructions) .. Type 14a Name of country or U.S. Possession b Gross income from all sources . . . . . . . . c Gross income sourced at shareholder level . . . . . . Foreign gross income sourced at corporate level d Passive category . . . . . . . . . . . . . . . . . e General category . . . . . . . . . . . . . . . . . . . f Other (attach statement).. . . . Deductions allocated and apportioned at shareholder level g Interest expense . . . . . . . . . . . . . . . . . . . . . . h Other . . . . . . . . . . . . . . . . . . . . . . . Deductions allocated and apportioned at corporate level to foreign source income i Passive category . . . . . . . . . . . . . . . . . . . . . i General category . . . . . . . . . . . . . . . . . . . . . k Other (attach statement) . . . . . . . . . . . . . . . . . Other information I Total foreign taxes (check one) Paid Accrued . . . . . . . . . m Reduction in taxes available for credit (attach statement) . . . . . . . . . n Other foreign tax information (attach statement) 15a Post-1986 depreciation adjustment . . . . . . . . . . . . . . . . . b Adjusted gain or loss . . . . . . . . . . . . . . . . . . . . C Depletion (other than oil and gas) . . . . . . . . . . . . . . . . d Oil, gas, and geothermal properties-gross income . . . . e Oil, gas, and geothermal properties-deductions......... f Other AMT items (attach statement)... . 16a Tax-exempt interest income . . . . . . . . . . . . b Other tax-exempt income . . . . . . . c Nondeductible expenses .. . . . . . . . . . . . . . . . . . . d Distributions (attach statement if required) (see instructions) . . . . .. ... e Repayment of loans from shareholders... I 14c 14d 14e 14 Foreign Transactions 14k . . | 14m . Alternative Minimum Tax (AMT) Items 15a 15b 150 150 15e 15f 16a 16b Items Affecting Shareholder Basis 16c . . 160 16 16e Form 1120S (2017) Page 4 Total amount 17a Form 1120S (2017) Schedule K Shareholders' Pro Rata Share Items (continued) 17a Investment income..... b Investment expenses . . . . . . . . . . . . . . . . . . . . o e Dividend distributions paid from accumulated earnings and profits ........ E d Other items and amounts (attach statement) 17 17e Other ciliation Information Recon- 18 Schedule L Income/loss reconciliation. Combine the amounts on lines 1 through 10 in the far right column. From the result, subtract the sum of the amounts on lines 11 through 120 and 141 Balance Sheets per Books Beginning of tax year Assets 19 End of tax year 1 Cash . . . . . . . . 2a Trade notes and accounts receivable . . b Less allowance for bad debts..... 3 Inventories . . . . . . . . . . . 4 U.S. government obligations . . . 5 Tax-exempt securities (see instructions) . 6 Other current assets (attach statement) . 7 Loans to shareholders . . . . . . . 8 Mortgage and real estate loans.. 9 Other investments (attach statement) . . . 10a Buildings and other depreciable assets . b Less accumulated depreciation . . . 11a Depletable assets . . . . . . . . . b Less accumulated depletion..... 12 Land (net of any amortization) . . . 13a Intangible assets (amortizable only). . . . b Less accumulated amortization . . . . . Other assets (attach statement).... . 15 Total assets . . . . . . . . Liabilities and Shareholders' Equity 16 Accounts payable . . . . . . Mortgages, notes, bonds payable in less than 1 year 18 Other current liabilities (attach statement) 19 Loans from shareholders . . . . 20 Mortgages, notes, bonds payable in 1 year or more 21 Other liabilities (attach statement) . 22 Capital stock. . . . . . . . . . 23 Additional paid-in capital . . . . . . 24 Retained earnings . . . . . . . 25 Adjustments to shareholders' equity (attach statement) 26 Less cost of treasury stock . 27 Total liabilities and shareholders' equity . Form 1120S 2017) Form 1120S (2017) Page 5 Schedule M-1 Reconciliation of Income (Loss) per Books With Income (Loss) per Return Note: The corporation may be required to file Schedule M-3 (see instructions) 1 Net income (loss) per books . . . . . . 5 Income recorded on books this year not included 2 Income included on Schedule K, lines 1, 2, 3, 4, on Schedule K, lines 1 through 10 itemize 5a, 6, 7, 8, 9, and 10, not recorded on books this a Tax-exempt interest $ year (itemize).. Expenses recorded on books this year not 6 Deductions included on Schedule K, included on Schedule K, lines 1 through 12 and lines 1 through 12 and 141, not charged 141 (itemize): against book income this year (itemize): Depreciation $ a Depreciation $ b Travel and entertainment $ 7 Add lines 5 and 6 . . . . 4 Add lines 1 through 3 . . . . . . 8 Income loss) (Schedule K, line 18). Line 4 less line 7 Schedule M-2 Analysis of Accumulated Adjustments Account, Other Adjustments Account, and Shareholders' Undistributed Taxable income Previously Taxed (see instructions) (a) Accumulated (b) Other adjustments (c) Shareholders' undistributed adjustments account account taxable income previously taxed 1 Balance at beginning of tax year. . . . . 2 Ordinary income from page 1, line 21 . . . Other additions.. . 4 Loss from page 1, line 21 . . . . . . . 5 Other reductions. . . . . . . . . . 6 Combine lines 1 through 5. . . . . . . 7 Distributions other than dividend distributions 8 Balance at end of tax year. Subtract line 7 from line 6 Form 1120S (2017)
