Change the order of distributions when electing to distribute accumulated E&P
UltraTax CS automatically prints the election to distribute accumulated E&P first when the
Election to distribute accumulated E&P first
field is marked on the Ms
screen in the Balance Sheet
folder.Enter distribution in the
Distributions
field in the AAA column on the Ms
screen.UltraTax CS applies the following ordering when excess distributions are entered in the Accumulated Adjustment Account column.
- Accumulated E&P to the extent the distribution doesn't reduce the account below zero.
- Undistributed Previously Taxed Income (PTI) to the extent the distribution doesn't reduce the account below zero.
- Accumulated Adjustments Account (AAA) to the extent the distribution doesn't reduce the account below zero.
- Other Adjustment Account (OAA) to the extent the distribution doesn't reduce the account below.
- Any remaining distribution reduces the Retained Earnings Timing Differences (REU) account.
If you want to use a different ordering of the distributions:
- Enter the amount of distribution (including zero) in the respective column.
If you only want to print the election to distribute accumulated E&P first, but don't want to change the ordering of distributions:
- Select theDistribute Accumulated E&P Firstelection from theElection Descriptiondropdown in theElection statementssection on theElectscreen.
- Don't select theElection to distribute accumulated E&P firstfield in theMsscreen.
