Data Entry

Enter total business-related debts that became worthless in whole or in part during the year in the Bad debts field on the DED screen. Bad debts carry to Form 1120-S, line 10.

Enter a deductible, non-business bad debt as a short-term capital loss on screen 8949.

An attachment is required for each bad debt reported.

Resources

For more information on business and non-business bad debts see:

• Publication 535

• Publication 550