S-corp Hello,
I have a question regarding S-corp (one-shareholder). I created S-corp last year and paid $$$ for tax return, this year trying to do myself.
PY 1120S didn’t show any wages or distributions.
I only contributed minor funds ($200-300) and last year profit that flew through to our 1040 was 11K.
For current year it is my understanding that I need to show some wages, but I didn’t prep any W-2 and didn’t pay any related taxes (SS, fico, etc)
I made a withdrawal of 30K this year, can I report all 30K as a distribution? Will I have to pay additional tax since distribution exceeds the basis(which is 11K if I understand correctly).
If I need to show wages is it too late to do W-2? Since taxes should have been paid in FY2012?
Any help/advice appreciated. Sorry if questions are cumbersome just trying to figure it out myself. |