Hi there,
I'm trying to fill out the 5471 Instructions' Worksheet A for two different years, for a Streamlined Application. In one case, line 28, Total Subpart F Income, is negative, and line 29, E&P, is zero. In the other case, Total Subpart F Income is negative, and E&P is positive.
I presume negative Subpart F Income is not allowed to be transferred onto Form 1040. Is this correct? If so, how do I show this on the form?
All the "income" (negative amount) comes from line 16e, Adjusted net foreign base company services income. Should the fact that the line is not called "Adjusted net foreign base company services income (loss)" inform me to "enter 0 if negative" there?
Thank you!
Form 5471 - Negative Subpart F Income
Moderator: Mark T Serbinski CA CPA
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- Posts: 54
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- Location: Victoria, BC, Canada
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- Posts: 54
- Joined: Sun Oct 26, 2014 12:03 am
- Location: Victoria, BC, Canada
Thank you Testone.
Where is the first line on form 5471 that I show zero income rather than negative? Is it line 16e (all the income and expenses are services income and expenses), or is it line 19 (Adjusted net foreign base company income) or line 25 (Subpart F income before application of sections 952(b) and (c) and section 959(b))?
Thanks a lot for your thoughts...
Where is the first line on form 5471 that I show zero income rather than negative? Is it line 16e (all the income and expenses are services income and expenses), or is it line 19 (Adjusted net foreign base company income) or line 25 (Subpart F income before application of sections 952(b) and (c) and section 959(b))?
Thanks a lot for your thoughts...