for an S corp a shareholder contributed $6414 to the corporation why does this amount affect basis for the shareholder to take a loss this year? can anyone explain it. based on the 7203 form ? i thought the shareholder already had 60,025 of basis? why cant he take the loss of $6398 unless he contributed money? please explain

Part II Shareholder Debt Basis Section A - Amount of Debt (a) Debt 1 Description Formal note Open account 16 Loan balance at the beginning of the corporation's tax year 60,025 . 17 Addifional loans (see instructions) 6,414 . 19 Principal portion of debt repayment (this line doesn't include interest) 20 Loan balance at the end of the corporation's tax year. Subtract line 19 from line 18 66,439 . zozsot 15.19.z2 LHA For Paperwork Reduction Act Notice, see separa Form 7203 (Rev. 122022 Part II Shareholder Debt Basis (continued) Section B - Adjus