A shareholder loaned $100,000 to the S Corp in TY2021 which was repaid in TY2022. Discuss the appropriate recording of the loan transactions for both years and the effect on shareholder basis for both years. State the applicable rules that apply to this situation.

Answer rating: 100% (QA)

In TY2021 when the shareholder loaned 100000 to the S Corp it should be recorded as a liability on t... View the full answer