Form 5471 Schedule J Part II - Nonpreviously Taxed E&P Subject to Recapture as Subpart F Income (section 952(c)(2))
We added reporting Subpart F Recapture account activity to Form 5471 in tax year 2018. Enter beginning balances in the
Subpart F Recapture
screen. During Subpart F calculations, these beginning balances are increased for any limitation of current year subpart F to earnings or decreased for any current year recapture. When the International Computes > Transfer to US5471, US8865, US8858
runs, Subpart F recapture activity is transferred by basket directly to Organizer Schedule J Part II
as follows:Tax Return Line | Subpart F Deemed Distribution Report Line |
|---|---|
1. Balances at beginning of year | Prior Year Excess Subpart F Income |
2. Additions (amounts subject to future recapture) | Current Year Excess Subpart F Income |
3. Subtractions (amounts recaptured in current year) | Current Year Recharacterization |
note
Before transferring new results, the International Compute deletes existing information in Schedule J Part II when the
International Compute > Transfer US5471, US8865, US8858
runs. You must select the Schedule J
option on the INTL Transfer Options
page in Organizer on the 5471
navigation tree to retain information manually entered in Schedule J Part II. If you do not select the option, you will lose any Organizer overrides (even if the Organizer field is locked) for Schedule J, unless otherwise noted, when you next run International Compute \ Transfer to US5471, US8865, US8858
for the binder.
