TJ and Associates III S Corporation EIN: 12-3456789 Date Incorporated: 01/01/2012 Date S Corporation elected: 01/01/2012 Address: 4801 S. Commercial, Sunshine, FL 00000 Shareholders/Officers: Jess Hawkins Position: President Ownership: 40% SS#: 345-67-8901 W2-Wages: $50,000 Medical: $6,000 Time spent working for corporation: 100% Terri Hawkins Position: Treasurer Ownership: 20% SS# 234-56-7890 W2-Wages: $20,000 Medical: $-0Time spent working for corporation: 100% Judith Zollinger Position: Vice President Ownership: 40% SS# 543-21-0986 W2 – Wages: $50,000 Medical: $9,500 Time spent working for corporation: 100% Address: 1234 Main Street, Sunshine, FL, 33040 - All meals were while traveling or entertaining prospective clients. - TJ & Associates purchased a new copy machine during the year. The business purchased the asset on June 1 and began using it on July 1. The total cost of the copy machine was $30,000. Ms. Hawkins tells you that she wishes to deduct as much of the copier purchase this year as possible. Use the tax methods that minimize taxable income. 2:38 PM TJ and Associates III 05/20/14 Accrual Basis As of December 31, 2012 Balance Sheet Dec 31, 12 ASSETS Current Assets Checking/Savings Checking Money Market Payroll Total Checking/Savings 96,883.00 120,000.00 850.00 217,733.00 Accounts Receivable Allowance for Doubtful Accounts Various AR -503.00 16,750.00 Total Accounts Receivable 16,247.00 Total Current Assets TOTAL ASSETS LIABILITIES & EQUITY Liabilities Current Liabilities Accounts Payable Accounts Payable 233,980.00 233,980.00 13,480.00 Total Accounts Payable 13,480.00 Other Current Liabilities Accrued PR Expense 850.00 Total Other Current Liabilities 850.00 Total Current Liabilities Total Liabilities 14,330.00 14,330.00 Equity Capital Stock Retained Earnings 120,000.00 99,650.00 Total Equity 219,650.00 TOTAL LIABILITIES & EQUITY 233,980.00 Page 1 TJ and Associates III Balance Sheet Accrual Basis As of December 31, 2013 Dec 31, 13 ASSETS Current Assets Checking/Savings Checking Money Market Payroll Petty Cash Total Checking/Savings 29,452.00 120,000.00 2,015.00 500.00 151,967.00 Accounts Receivable Allowance for Doubtful Accounts Various AR -1,350.00 45,000.00 Total Accounts Receivable 43,650.00 Other Current Assets Prepaid Insurance Prepaid Office Supplies 3,000.00 4,700.00 Total Other Current Assets 7,700.00 Total Current Assets 203,317.00 Fixed Assets Accumulated Depreciation Furniture and Equipment -6,000.00 30,000.00 Total Fixed Assets 24,000.00 TOTAL ASSETS LIABILITIES & EQUITY Liabilities Current Liabilities Accounts Payable Accounts Payable 227,317.00 7,859.00 Total Accounts Payable 7,859.00 Other Current Liabilities FICA Payable Employee FICA Payable Employer FIT Payable 382.50 382.50 1,250.00 Total Other Current Liabilities 2,015.00 Total Current Liabilities 9,874.00 Long Term Liabilities USA Bank 25,000.00 Total Long Term Liabilities 25,000.00 Total Liabilities 34,874.00 Equity Capital Stock Distributions Retained Earnings Net Income 120,000.00 -80,000.00 99,650.00 52,793.00 Total Equity 192,443.00 TOTAL LIABILITIES & EQUITY 227,317.00 Page 1 TJ and Associates III Profit & Loss January through December 2013 Accrual Basis Jan - Dec 13 Ordinary Income/Expense Income Accounting Services Income Tax Preparation Services Income Total Income Gross Profit Expense Advertising and Promotion Automobile Expense Bad Debt Expense Charitable Contributions Depreciation Expense Dues and Subscriptions Insurance Expense General Liability Insurance Health Insurance Professional Liability Worker's Compensation Total Insurance Expense Interest Expense Meals and Entertainment Office Rent Office Supplies Payroll Taxes Penalties and Fines Political Contributions Postage and Delivery Printing and Reproduction Professional Fees Salaries and Wages Telephone Expense Travel Expense Utilities Total Expense Net Ordinary Income Net Income 175,000.00 107,000.00 282,000.00 282,000.00 7,500.00 12,000.00 1,350.00 2,000.00 6,000.00 3,500.00 3,000.00 15,500.00 10,000.00 350.00 28,850.00 1,500.00 3,512.00 8,600.00 5,200.00 9,180.00 125.00 200.00 500.00 2,300.00 1,500.00 120,000.00 4,925.00 3,785.00 6,680.00 229,207.00 52,793.00 52,793.00 Page 1 TJ and Associates II S Corporation EIN: 12-3456789 Date Incorporated: 01/01/2012 Date S Corporation elected: 01/01/2012 Address: 4801 S. Commercial, Sunshine, FL 00000 Shareholders/Officers: Jess Hawkins Position: Vice President Ownership: 40% SS#: 345-67-8901 W2-Wages: $100,000 Medical: $13,500 Time spent working for corporation: 100% Terri Hawkins Position: President Ownership: 40% SS# 234-56-7890 W2-Wages: $86,500 Medical: $-0Time spent working for corporation: 100% Judith Zollinger Position: Treasurer Ownership: 20% SS# 543-21-0986 W2 – Wages: $63,500 Medical: $13,500 Time spent working for corporation: 100% Address: 1234 Main Street, Sunshine, FL, 33040 - All meals were while traveling or entertaining prospective clients. - TJ & Associates purchased a new copy machine during the year. The business purchased the asset on June 1 and began using it on July 1. The total cost of the copy machine was $105,000. Ms. Hawkins tells you that she wishes to deduct as much of the copier purchase this year as possible. - Use all appropriate tax methods that minimize taxable income. TJ and Associates II Balance Sheet Accrual Basis As of December 31, 2012 Dec 31, 12 ASSETS Current Assets Checking/Savings Checking Money Market Payroll Total Checking/Savings 96,883.00 120,000.00 850.00 217,733.00 Accounts Receivable Allowance for Doubtful Accounts Various AR -503.00 16,750.00 Total Accounts Receivable 16,247.00 Total Current Assets TOTAL ASSETS LIABILITIES & EQUITY Liabilities Current Liabilities Accounts Payable Accounts Payable 233,980.00 233,980.00 13,480.00 Total Accounts Payable 13,480.00 Other Current Liabilities Accrued PR Expense 850.00 Total Other Current Liabilities 850.00 Total Current Liabilities Total Liabilities 14,330.00 14,330.00 Equity Capital Stock Retained Earnings 120,000.00 99,650.00 Total Equity 219,650.00 TOTAL LIABILITIES & EQUITY 233,980.00 Page 1 2:19 PM TJ and Associates II 05/20/14 Accrual Basis As of December 31, 2013 Balance Sheet Dec 31, 13 ASSETS Current Assets Checking/Savings Checking Money Market Payroll Petty Cash Total Checking/Savings 1,212.00 190,000.00 4,198.00 500.00 195,910.00 Accounts Receivable Allowance for Doubtful Accounts Various AR -960.00 32,000.00 Total Accounts Receivable 31,040.00 Other Current Assets Prepaid Insurance Prepaid Office Supplies 6,000.00 2,100.00 Total Other Current Assets 8,100.00 Total Current Assets 235,050.00 Fixed Assets Accumulated Depreciation Furniture and Equipment -21,000.00 105,000.00 Total Fixed Assets TOTAL ASSETS LIABILITIES & EQUITY Liabilities Current Liabilities Accounts Payable Accounts Payable Total Accounts Payable 84,000.00 319,050.00 27,850.00 27,850.00 Other Current Liabilities FICA Payable Employee FICA Payable Employer FIT Payable 797.00 797.00 2,604.00 Total Other Current Liabilities 4,198.00 Total Current Liabilities 32,048.00 Long Term Liabilities USA Bank 70,000.00 Total Long Term Liabilities 70,000.00 Total Liabilities 102,048.00 Equity Capital Stock Distributions Retained Earnings Net Income 120,000.00 -11,800.00 99,650.00 9,152.00 Total Equity 217,002.00 TOTAL LIABILITIES & EQUITY 319,050.00 Page 1 TJ and Associates II Profit & Loss January through December 2013 Accrual Basis Jan - Dec 13 Ordinary Income/Expense Income Accounting Services Income Consulting Income Tax Preparation Services Income Total Income Gross Profit Expense Advertising and Promotion Automobile Expense Bad Debt Expense Charitable Contributions Depreciation Expense Dues and Subscriptions Insurance Expense General Liability Insurance Health Insurance Professional Liability Worker's Compensation Total Insurance Expense Interest Expense Meals and Entertainment Office Rent Office Supplies Payroll Taxes Penalties and Fines Political Contributions Postage and Delivery Printing and Reproduction Professional Fees Salaries and Wages Telephone Expense Travel Expense Utilities Total Expense Net Ordinary Income Net Income 220,000.00 72,000.00 98,000.00 390,000.00 390,000.00 3,200.00 5,769.00 960.00 650.00 21,000.00 4,600.00 6,000.00 27,000.00 8,500.00 324.00 41,824.00 8,100.00 790.00 7,000.00 4,800.00 19,125.00 95.00 200.00 500.00 2,300.00 1,500.00 250,000.00 2,100.00 1,775.00 4,560.00 380,848.00 9,152.00 9,152.00 Page 1 TJ and Associates I S Corporation EIN:12-3456789 Date Incorporated: 01/01/2012 Date S Corporation elected: 01/01/2012 Address: 4801 S. Commercial, Sunshine, FL 00000 Shareholders/Officers: Terri Hawkins Position: Vice President Ownership: 40% SS# 234-56-7890 W2-Wages: $52,000 Medical: $9,000 Time spent working for corporation: 100% Judith Zollinger Position: President Ownership: 60% SS# 543-21-0986 W2 – Wages: $78,000 Medical: $13,000 Time spent working for corporation: 100% Address: 1234 Main Street, Sunshine, FL, 33040 - All meals were while traveling or entertaining prospective clients. - TJ & Associates purchased a new copy machine during the year. The business purchased the asset on June 1 and began using it on July 1. The total cost of the copy machine was $15,000. Ms. Hawkins tells you that she wishes to deduct as much of the copier purchase this year as possible. - Use all appropriate tax methods that minimize taxable income. TJ and Associates I Balance Sheet Accrual Basis As of December 31, 2012 Dec 31, 12 ASSETS Current Assets Checking/Savings Checking Money Market Payroll Total Checking/Savings 96,883.00 120,000.00 850.00 217,733.00 Accounts Receivable Allowance for Doubtful Accounts Various AR -503.00 16,750.00 Total Accounts Receivable 16,247.00 Total Current Assets TOTAL ASSETS LIABILITIES & EQUITY Liabilities Current Liabilities Accounts Payable Accounts Payable 233,980.00 233,980.00 13,480.00 Total Accounts Payable 13,480.00 Other Current Liabilities Accrued PR Expense 850.00 Total Other Current Liabilities 850.00 Total Current Liabilities Total Liabilities 14,330.00 14,330.00 Equity Capital Stock Retained Earnings 120,000.00 99,650.00 Total Equity 219,650.00 TOTAL LIABILITIES & EQUITY 233,980.00 Page 1 TJ and Associates I Balance Sheet Accrual Basis As of December 31, 2013 Dec 31, 13 ASSETS Current Assets Checking/Savings Checking Money Market Payroll Petty Cash Total Checking/Savings 61,700.00 120,000.00 2,182.00 500.00 184,382.00 Accounts Receivable Allowance for Doubtful Accounts Various AR -848.00 28,250.00 Total Accounts Receivable 27,402.00 Other Current Assets Prepaid Insurance Prepaid Office Supplies 4,500.00 2,300.00 Total Other Current Assets 6,800.00 Total Current Assets 218,584.00 Fixed Assets Accumulated Depreciation Furniture and Equipment -3,000.00 15,000.00 Total Fixed Assets 12,000.00 TOTAL ASSETS LIABILITIES & EQUITY Liabilities Current Liabilities Accounts Payable Accounts Payable 230,584.00 4,975.00 Total Accounts Payable 4,975.00 Other Current Liabilities FICA Payable Employee FICA Payable Employer FIT Payable 414.00 414.00 1,354.00 Total Other Current Liabilities 2,182.00 Total Current Liabilities 7,157.00 Long Term Liabilities USA Bank 10,000.00 Total Long Term Liabilities 10,000.00 Total Liabilities 17,157.00 Equity Capital Stock Distributions Retained Earnings Net Income 120,000.00 -60,000.00 99,650.00 53,777.00 Total Equity 213,427.00 TOTAL LIABILITIES & EQUITY 230,584.00 Page 1 TJ and Associates I Profit & Loss January through December 2013 Accrual Basis Jan - Dec 13 Ordinary Income/Expense Income Accounting Services Income Tax Preparation Services Income Total Income Gross Profit Expense Advertising and Promotion Automobile Expense Bad Debt Expense Charitable Contributions Depreciation Expense Dues and Subscriptions Insurance Expense General Liability Insurance Health Insurance Professional Liability Worker's Compensation Total Insurance Expense Interest Expense Meals and Entertainment Office Rent Office Supplies Payroll Taxes Penalties and Fines Political Contributions Postage and Delivery Printing and Reproduction Professional Fees Salaries and Wages Telephone Expense Travel Expense Utilities Total Expense Net Ordinary Income Net Income 135,000.00 146,000.00 281,000.00 281,000.00 3,100.00 8,040.00 848.00 750.00 3,000.00 2,100.00 4,500.00 22,000.00 13,000.00 400.00 39,900.00 800.00 1,865.00 7,600.00 4,880.00 9,945.00 320.00 500.00 1,480.00 1,800.00 900.00 130,000.00 3,425.00 790.00 5,180.00 227,223.00 53,777.00 53,777.00 Page 1 Form 1120S Department of the Treasury Internal Revenue Service U.S. Income Tax Return for an S Corporation OMB No. 1545-0123 Do not file this form unless the corporation has filed or is attaching Form 2553 to elect to be an S corporation. ▶ Information about Form 1120S and its separate instructions is at www.irs.gov/form1120s. 2016 ▶ For calendar year 2016 or tax year beginning A S election effective date TYPE B Business activity code number (see instructions) OR PRINT , 2016, ending , 20 Name D Employer identification number Number, street, and room or suite no. If a P.O. box, see instructions. E Date incorporated City or town, state or province, country, and ZIP or foreign postal code F Total assets (see instructions) C Check if Sch. M-3 attached $ Yes No If “Yes,” attach Form 2553 if not already filed G Is the corporation electing to be an S corporation beginning with this tax year? (4) (3) (5) Name change Address change S election termination or revocation Final return (2) Amended return H Check if: (1) ▶ I Enter the number of shareholders who were shareholders during any part of the tax year . . . . . . . . . Caution: Include only trade or business income and expenses on lines 1a through 21. See the instructions for more information. 1a . . . . . . . . . . . . . . 1a . . . . . . . . . . . . . . 1b Balance. Subtract line 1b from line 1a . . . . . . . . . . . . . . . . . . . Cost of goods sold (attach Form 1125-A) . . . . . . . . . . . . . . . . . . Gross profit. Subtract line 2 from line 1c . . . . . . . . . . . . . . . . . . Net gain (loss) from Form 4797, line 17 (attach Form 4797) . . . . . . . . . . . . Other income (loss) (see instructions—attach statement) . . . . . . . . . . . . . Total income (loss). Add lines 3 through 5 . . . . . . . . . . . . . . . . ▶ 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 Form 4562) . . . . Depletion (Do not deduct oil and gas depletion.) . . . . . . . . . . . . . . . Advertising . . . . . . . . . . . . . . . . . . . . . . . . . . . Pension, profit-sharing, etc., plans . . . . . . . . . . . . . . . . . . . . Employee benefit programs . . . . . . . . . . . . . . . . . . . . . . Other deductions (attach statement) . . . . . . . . . . . . . . . . . . . Total deductions. Add lines 7 through 19 . . . . . . . . . . . . . . . . ▶ Ordinary business income (loss). Subtract line 20 from line 6 . . . . . . . . . . . Excess net passive income or LIFO recapture tax (see instructions) . . 22a Tax from Schedule D (Form 1120S) . . . . . . . . . . . 22b Add lines 22a and 22b (see instructions for additional taxes) . . . . . . . . . . . . 2016 estimated tax payments and 2015 overpayment credited to 2016 23a Tax deposited with Form 7004 . . . . . . . . . . . . 23b Credit for federal tax paid on fuels (attach Form 4136) . . . . . 23c Add lines 23a through 23c . . . . . . . . . . . . . . . . . . . . . . Estimated tax penalty (see instructions). Check if Form 2220 is attached . . . . . . ▶ Amount owed. If line 23d is smaller than the total of lines 22c and 24, enter amount owed . . Overpayment. If line 23d is larger than the total of lines 22c and 24, enter amount overpaid . . Enter amount from line 26 Credited to 2017 estimated tax ▶ Refunded ▶ Gross receipts or sales . Tax and Payments Deductions (see instructions for limitations) Income b Returns and allowances c 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 a b c 23 a b c d 24 25 26 27 22c 23d 24 25 26 27 Paid Preparer Use Only Date Signature of officer Print/Type preparer's name Preparer's signature ▲ Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge. May the IRS discuss this return with the preparer shown below (see instructions)? ▲ Sign Here 1c 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Yes Title Date Check if self-employed Firm's name ▶ Firm's EIN Firm's address ▶ Phone no. For Paperwork Reduction Act Notice, see separate instructions. Cat. No. 11510H No PTIN ▶ Form 1120S (2016) Form 1120S (2016) Schedule B 1 2 3 4 Page 2 Other Information (see instructions) a c See the instructions and enter the: a Business activity ▶ Check accounting method: Yes No Cash b Accrual Other (specify) ▶ b Product or service ▶ 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 . . At the end of the tax year, did the corporation: a 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 (i) through (v) below . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (i) Name of Corporation (ii) Employer Identification Number (if any) (iii) Country of Incorporation (iv) Percentage of Stock Owned (v) If Percentage in (iv) is 100%, Enter the Date (if any) a Qualified Subchapter S 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 (i) through (v) below . . . . . . . (i) Name of Entity (ii) Employer Identification Number (if any) (iii) Type of Entity (iv) Country of Organization (v) Maximum Percentage Owned in Profit, Loss, or Capital 5 a At the end of the tax year, did the corporation have any outstanding shares of restricted stock? . . . . . . . If “Yes,” complete lines (i) and (ii) below. (i) Total shares of restricted stock. . . . . . . . . . ▶ (ii) 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 (i) and (ii) below. (i) Total shares of stock outstanding at the end of the tax year ▶ (ii) Total shares of stock outstanding if all instruments were executed ▶ 6 7 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 . . . . ▶ 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 (or 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) . . . . . . . . . . . . . . . ▶ $ $ 9 Enter the accumulated earnings and profits of the corporation at the end of the tax year. 10 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. 8 11 During the tax year, did the corporation have any non-shareholder debt that was canceled, was forgiven, or had 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 13 a Did the corporation make any payments in 2016 that would require it to file Form(s) 1099? . . . . . . . . . b If “Yes,” did the corporation file or will it file required Forms 1099? . . . . . . . . . . . . . . . . the . . . . Form 1120S (2016) Form 1120S (2016) Credits Deductions Income (Loss) Schedule K Ordinary business income (loss) (page 1, line 21) . . . . . . . . . . . . . Net rental real estate income (loss) (attach Form 8825) . . . . . . . . . . . Other gross rental income (loss) . . . . . . . . . . 3a Expenses from other rental activities (attach statement) . . 3b Other net rental income (loss). Subtract line 3b from line 3a . . . . . . . . . Interest income . . . . . . . . . . . . . . . . . . . . . . . Dividends: a Ordinary dividends . . . . . . . . . . . . . . . . . . b Qualified dividends . . . . . . . . . . 5b 6 Royalties . . . . . . . . . . . . . . . . . . . . . . . . . 7 Net short-term capital gain (loss) (attach Schedule D (Form 1120S)) . . . . . . . 8 a Net long-term capital gain (loss) (attach Schedule D (Form 1120S)) . . . . . . . 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) . . . . . . . . . . . . . . . 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 42(j)(5)) . . . . . . . . . . . . . . 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 ▶ Foreign Transactions Alternative Minimum Tax (AMT) Items Biofuel producer credit (attach Form 6478) Other credits (see instructions) . . . . Name of country or U.S. possession ▶ . . 3 Total amount 1 2 3a b c 4 5 f g 14a b c Items Affecting Shareholder Basis Page Shareholders’ Pro Rata Share Items . . . . Type ▶ . . . . . . . . 1 2 . . . 3c 4 5a . . . 6 7 8a . 9 10 11 12a 12b . . . 12c(2) . . . 12d 13a 13b 13c 13d 13e 13f 13g . . . . Gross income from all sources . . . . . . . . . . . . . . . . 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 . . . . . . . . . . . . . . . . . . . . j General category . . . . . . . . . . . . . . . . . . . . k Other (attach statement) . . . . . . . . . . . . . . . . . . Other information l 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 . . . . . . . . . . . . . . . . . . . . 14b 14c . . . . . . . . . 14d 14e 14f . . . . . . 14g . . . . . . . . . 14i 14j 14k . . . . . . 14l 14m . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15a 15b 15c 15d 15e 15f 16a 16b 16c 16d 16e 14h Form 1120S (2016) Form 1120S (2016) ReconOther ciliation Information Schedule K Page 17a b c d Investment income . . . . . . . . . . . . . . . Investment expenses . . . . . . . . . . . . . . Dividend distributions paid from accumulated earnings and profits Other items and amounts (attach statement) 18 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 12d and 14l Schedule L Balance Sheets per Books . . . . . . . . . . . . . . . . . . . . . 17a 17b 17c . . . Beginning of tax year Assets (a) 1 2a b 3 4 5 6 7 8 9 10a b 11a b 12 13a b 14 15 Cash . . . . . . . . . . . . Trade notes and accounts receivable . . Less allowance for bad debts . . . . . Inventories . . . . . . . . . . U.S. government obligations . . . . . Tax-exempt securities (see instructions) . Other current assets (attach statement) . . Loans to shareholders . . . . . . . Mortgage and real estate loans . . . . Other investments (attach statement) . . Buildings and other depreciable assets . . Less accumulated depreciation . . . . Depletable assets . . . . . . . . Less accumulated depletion . . . . . Land (net of any amortization) . . . . . Intangible assets (amortizable only) . . . Less accumulated amortization . . . . Other assets (attach statement) . . . . Total assets . . . . . . . . . . Liabilities and Shareholders’ Equity 16 17 18 19 20 21 22 23 24 25 26 27 Accounts payable . . . . . . . . . Mortgages, notes, bonds payable in less than 1 year Other current liabilities (attach statement) . . Loans from shareholders . . . . . . . Mortgages, notes, bonds payable in 1 year or more Other liabilities (attach statement) . . . . Capital stock . . . . . . . . . . . Additional paid-in capital . . . . . . . Retained earnings . . . . . . . . . Adjustments to shareholders’ equity (attach statement) Less cost of treasury stock . . . . . . Total liabilities and shareholders’ equity . . . . . . . . . . . . . . . . . . . . . 4 Total amount Shareholders’ Pro Rata Share Items (continued) 18 End of tax year (b) (c) (d) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) Form 1120S (2016) Form 1120S (2016) Schedule M-1 Page 5 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 2 Income included on Schedule K, lines 1, 2, 3c, 4, 5a, 6, 7, 8a, 9, and 10, not recorded on books this year (itemize) 3 Expenses recorded on books this year not included on Schedule K, lines 1 through 12 and 14l (itemize): Depreciation $ Travel and entertainment $ a b 4 Add lines 1 through 3 Schedule M-2 . . . . . . . . . . . . . . 5 Income recorded on books this year not included on Schedule K, lines 1 through 10 (itemize): a Tax-exempt interest $ 6 Deductions included on Schedule K, lines 1 through 12 and 14l, not charged against book income this year (itemize): a Depreciation $ 7 Add lines 5 and 6 . . . . . 8 Income (loss) (Schedule K, line 18). Line 4 less line 7 Analysis of Accumulated Adjustments Account, Other Adjustments Account, and Shareholders’ Undistributed Taxable Income Previously Taxed (see instructions) (a) Accumulated adjustments account 1 2 3 4 5 6 7 8 Balance at beginning of tax year . . . . . Ordinary income from page 1, line 21 . . . Other additions . . . . . . . . . . ( Loss from page 1, line 21 . . . . . . . ( Other reductions . . . . . . . . . . Combine lines 1 through 5 . . . . . . . Distributions other than dividend distributions Balance at end of tax year. Subtract line 7 from line 6 (b) Other adjustments account ) )( (c) Shareholders’ undistributed taxable income previously taxed ) Form 1120S (2016)
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