Charlotte is a 50% shareholder in an S corporation and her share of the ordinary business...
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Charlotte is a 50% shareholder in an S corporation and her share of the ordinary business loss for year 3 is $17,000. Charlotte's stock basis at the beginning of Year 3 was $10,000, and she personally loaned the S corporation $10,000 this year. Assuming that Charlotte's loss deduction is not limited by the passive loss rules or the at-risk rules, what is her debt basis at the end of Year 3? O $3,000 O$10,000 $7,000 $0 Charlotte is a 50% shareholder in an S corporation and her share of the ordinary business loss for year 3 is $17,000. Charlotte's stock basis at the beginning of Year 3 was $10,000, and she personally loaned the S corporation $10,000 this year. Assuming that Charlotte's loss deduction is not limited by the passive loss rules or the at-risk rules, what is her debt basis at the end of Year 3? O $3,000 O$10,000 $7,000 $0
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