Cash based S corp/accrued interest I have a cash based S-corp that has accrued interest on a loan. Do I record the accrual as interest expense/interest payable each year and then make an M-1 adjustment for the book/tax difference since no amounts were actually paid? Once payments are being made, a 1099 for interest income should be sent to seller for amounts actually received? Or do I expense and report on a 1099 the accrued amount each year? |