Box 17 - Other Information
Code A - Investment income
This amount will need to be manually entered by going to Federal > Deductions (Select my forms) > Itemized Deductions > Less Common Deductions > Investment Interest Expense Deduction. This amount will pull to Form 4952, line 4a.
Code B - Investment expense
The amount reported in Box 17, Code B will pull to line 5 of Form 4952.
Code C - Qualified rehabilitation expenditures (other than rental real estate)
The corporation will report the taxpayer's share of qualified rehabilitation expenditures and other information needed to complete Form 3468 for property not related to rental real estate activities in Box 17, Code C. To report the code, go to: Federal > Deductions (Select my forms) > Credits > Investment Credit > Rehabilitation Credit Under Section 47
Code D - Basis of energy property
The amount reported in Box 17, Code D may be needed to calculate the Investment Credit available on Form 3468. To report, go to: Federal > Deductions (Select my forms) > Credits > Investment Credit > Clean Electricity Investment Credit Under Section 48E
Code E - Recapture of low-income housing credit (section 42(j)(5))
Amounts reported in Box 17, Code E represent the Low-Income Housing Credit recapture amount due to a disposition or basis change, typically for an investment by the corporation in a partnership that has more than 35 partners, and this amount may be reported on Form 8611. To report, go to: Federal > Other Taxes > Recapture of Low-Income Housing Credit
Code F - Recapture of low-income housing credit (other)
Amounts reported in Box 17, Code F represent the Low-Income Housing Credit recapture amount due to a disposition or basis change typically for an investment by the corporation in a partnership that has less than 35 partners and this amount may be reported on Form 8611. To report, go to: Federal > Other Taxes > Recapture of Low-Income Housing Credit
Code G - Recapture of investment credit
The amount reported in Box 17, Code G may need to be reported on Form 4255. No amount entered in this field will flow to the Form 4255. To report code G, go to: Federal > Other Taxes > Recapture of Investment Credit
Code H - Recapture of other credits
The amount reported in Box 17, Code H represents the recapture of other business credits that may need to be reported on Form 1040. To report the code, go to: Federal > Other Taxes > Other Additional Taxes
Code I - Look-back interest - Completed long-term contracts
Amounts reported in Box 17, Code I are reported on Form 8697. To do so, go to: Federal > Other Taxes > Other Additional Taxes > Interest computation under the Look-Back Method (8866)
Code J - Look-back interest - Income forecast method
Amounts reported in Box 17, Code J are reported on Form 8866. To do so, go to: Federal > Other Taxes > Other Additional Taxes > Interest computation under the Look-Back Method (8866)
Code K - Dispositions of property with section 179 deductions
Amounts reported in Box 17, Code K may need to be reported on Form 4797. To locate Form 4797, go to: Federal > Income (Select my forms) > Less Common Income > Form 4797
Code L - Recapture of Section 179 deduction
Amounts reported in Box 17, Code L represent the taxpayer's share of any recapture of section 179 expense deduction if the business use of the property dropped to 50% or less. This information is reported on Form 4797, to do so, go to: Federal > Income (Select my forms) > Less Common Income > Form 4797 > Recapture Under Section 179 (Part IV)
Code M - Section 453(l)(3) Information
Amounts reported in Box 17, Code M represent the taxpayer's share of taxes as a result of the sale of certain class of assets (residential lots and timeshares) on an installment basis. To report code M, go to: Federal > Other Taxes > Other Additional Taxes > Any other tax.
Code N - Section 453A(c) Information
Amounts reported in Box 17, Code N represent the taxpayer's share of taxes as a result of the gain on sale of certain assets (property with a sales price over $150,000) on an installment basis. To report, go to: Federal > Other Taxes > Other Additional Taxes > Any other tax.
Code O - Section 1260(b) Information
Amounts reported in Box 17, Code O represent the taxpayer's share of taxes as a result of the gain on the sale of assets on an installment basis. To report, go to: Federal > Other Taxes > Other Additional Taxes > Any other tax.
Code P - Interest allocable to production expenditures
Amounts reported in Box 17, Code P represent the information that the taxpayer needs to capitalize any interest related to production expenditures under Section 263A. This amount is used to add to the basis or production cost of the property being produced. The adjustment is reflected in your inventory if the corporation is producing goods for sale, or the basis of self-constructed assets if the corporation is producing property for use in the business.
Code Q - CCF nonqualified withdrawals
Amounts reported in Box 17, Code Q represent the taxpayer share of nonqualified withdrawals from a capital construction fund (CCF). These withdrawals are taxed separately from the taxpayer's other gross income at the highest marginal ordinary income or capital gains tax rate. To report, go to: Federal > Other Taxes > Other Additional Taxes > Any other tax.
Code R - Depletion Information - Oil & gas
Amounts reported in Box 17, Code R represent information the taxpayer needs to figure their share of any depletion deduction. The depletion deduction is reported on Schedule E. To do so, go to: Federal > Income (Select my forms) > Profit or Loss from Rentals and Royalties > Expenses > Depletion
Code S and T - Reserved for future use.
Code U - Net Investment Income
An amount reported in Box 17, Code U is the information that is provided to the taxpayer to determine their net investment income tax under section 1411. See the shareholder's instructions provided by the corporation for further information on the treatment that these items will receive and the Instructions for Form 8960 - Net Investment Income Tax. Once you have figured your adjustment, report it by going to: Federal > Other Taxes > Net Investment Income Tax (NIIT).
Code V – Section 199A information
Amounts reported in Box 17, Code V is ‘Qualified Business Income” which is generally defined as income that is related to the corporation's business activities and it does not include investment income or the reasonable compensation paid to the shareholders for services rendered to the corporation. This amount will automatically pull to the applicable Qualified Business Income Deduction (‘QBID’) worksheet under the Tax Computation Menu and used to calculate any QBID.
Codes W through Z - Reserved for future use.
Code AA – Excess taxable income
Amounts reported in Box 17, Code AA is the excess taxable income determined by the corporation for the purpose of the limitation placed on the corporation's ability to deduct business interest. Complete Form 8990 manually to calculate your allowable interest deduction under §163(j). Once you have computed the deduction, report it under the Expenses section of the appropriate business schedule. To locate Schedule C, E, or F, go to: Federal > Income (Select my forms) > Profit or Loss from Business (Schedule C), Profit or Loss from Rentals and Royalties (Schedule E), or Profit or Loss from Farming (Schedule F).
Note: If you are required to attach Form 8990 to your return, you must paper file.
Code AB – Excess business interest expense
Amounts reported in Box 17, Code AB is the excess business interest income determined by the corporation for the purpose of the limitation placed on the corporation’s ability to deduct business interest. If the corporation determines it has excess business interest expense, this amount is passed through to shareholders. Shareholders may deduct this expense only if they have sufficient excess taxable income (ETI) from the same activity in future years. To calculate the interest deduction or carryover amount, you must manually complete Form 8990. Once you have determined the deduction, report it under the Expenses section of the appropriate business schedule. To locate Schedule C, E, or F, go to: Federal > Income (Select my forms) > Profit or Loss from Business (Schedule C), Profit or Loss from Rentals and Royalties (Schedule E), or Profit or Loss from Farming (Schedule F).
Code AC - Gross receipts for section 448(c)
Box 17, Code AC is used to determine whether the taxpayer meets the gross receipts test under IRC §448(c), which affects whether the business interest expense limitation under §163(j) applies. To handle code AC, first review the code AC attachment for the gross receipts amount. Next, determine if you meet the gross receipts test. If you meet the gross receipts test, manually complete Form 8990 to determine the allowed interest deduction. Enter the interest deduction under the Expenses section of the appropriate business schedule. To locate Schedule C, E, or F, go to: Federal > Income (Select my forms) > Profit or Loss from Business (Schedule C), Profit or Loss from Rentals and Royalties (Schedule E), or Profit or Loss from Farming (Schedule F).
Codes AD through AI - Reserved for future use.
Code AJ - Excess Business Loss Limitation
Code AJ applies when the S corporation has deductions attributable to a business activity and provides you with details to compute any excess business loss limitation under IRC § 461(l). To report code AJ, go to: Federal > Income (Select my forms) > Less Common Income > Form 461.
Codes AK through AM - Reserved for future use
Code AN - Farming and Fishing Income
This is informational only and applies when the corporation reports income from farming or fishing activities. To report this information, go to: Federal > Income (Select my forms) > Profit or Loss from Rentals and Royalties > Part V (Including Form 4835)
Code AP - Inversion gain
Code AP means the corporation has “inversion gain” under IRC §7874. The inversion gain is already included as income elsewhere on the Schedule K-1.
Codes AQ through AR - Reserved for future use.
Code AS - Qualifying Advanced Coal Project Property & Qualifying Gasification Project Property
Code AS applies when the corporation provides information for qualified investment in advanced coal projects or qualified gasification projects. This amount is reported on Form 3468 by going to: Federal > Deductions (Select my forms) > Credits > Investment Credit > Qualifying Advanced Coal and Gasification Project Credit.
Code AT - Qualifying Advanced Energy Project Property
This code applies when the corporation provides information for qualified investment in advanced energy project property under IRC §48C. To report, go to: Federal > Deductions (Select my forms) > Credits > Investment Credit > Qualifying Advanced Energy Project Credit Under Section 48C
Code AU - Advanced Manufacturing Investment Property Scenario
This applies when the corporation provides information for qualified investment in advanced manufacturing property under IRC §48D. To report, go to: Federal > Deductions (Select my forms) > Credits > Investment Credit > Qualifying Advanced Energy Project Credit Under Section 48D
Code AV - Clean Electricity Investment Credit
Code AV means the corporation allocated an investment credit for clean electricity property under IRC §48E. To report, go to: Federal > Deductions (Select my forms) > Credits > Investment Credit > Clean Electricity Investment Credit Under Section 48E
Code AW - Reportable Transactions
This applies when the corporation participated in a reportable transaction that may require disclosure under IRC §6011 and Form 8886. There is no direct entry field for code AW because it is a disclosure statement, not a tax calculation. If required, complete Form 8886 and attach it to your tax return before paper filing.
Codes AX through BD - Reserved for future use.
Code ZZ - Other Information
Code ZZ is a catch-all for miscellaneous items. The corporation’s statement is your guide—there is no standard IRS form for Code ZZ because it depends on the nature of the item.