Enter information for Schedule M-3

Complete the

M3

screens and the

8916A

screen in the Balance Sheet folder. When you enter data in the 2nd

M3

screen, enter positive amounts in the

Income (Loss) per Income Statement

column if it's an income amount, and negative amounts if it's a loss amount (unless otherwise noted). When you enter data in the 3rd

M3

screen, positive amounts are usually entered in the

Expense per Income Statement

column, but this depends on the particular account. Some special circumstances noted in the Schedule M-3 instructions are also noted with instructional text in the 2nd and 3rd

M3

screens. Depending on the nature of the difference, each account may have either a temporary or permanent difference. Enter them according to the adjusting entry made on the taxpayer's books.

For the

8916A

screen, positive amounts are usually entered in the

Expense per Income Statement

column. Enter positive amounts in the

Income (Loss) per Income Statement

column and negative amounts if it's a loss amount.

If filing a consolidated S or C Corporation return, enter

X

in the

Member of a consolidated return required to file Schedule M-3

field in the 1st

M3

screen for each member client, including the eliminations client. Complete the remaining fields on this screen in the consolidated client only. Complete the 2nd and 3rd

M3

screens in full by each of the member clients. The information entered in the 2nd and 3rd

M3

screens for each member is visible in the consolidated client via the Group View window.