cancel
Showing results for 
Search instead for 
Did you mean: 
Highlighted
Experienced Member

My cpa took a domestic production activities deduction on my 1120 tax return. How do I record it.

 
1 Comment
Established Community Backer ***

Re: My cpa took a domestic production activities deduction on my 1120 tax return. How do I record it.

You don't record such tax credits on the 1120S as there is no line for it. The deduction for domestic production is entered near bottom of the 1040. The deduction, although possibly issued in the name of the partnership, gets split on paper and entered by each partner on their personal return. Keep in mind the partnership itself pays no income tax so is itself not allowed this deduction.