Schedule K-1 (Form 1120-S) - Purpose

The shareholders are liable for tax on their share of the S-corporation income, whether or not distributed, and must include this share on their personal tax returns. A Schedule K-1 (Form 1120-S) Shareholder’s Share of Income, Deductions, Credits, etc. must be provided to each person who was a shareholder at any time during the tax year; on or before the date the S-corporation's tax return is required to be filed.

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