S Corporation Shareholder Stock and                                           OMB No. 1545-2302
Form 7203                                          Debt Basis Limitations
(Rev. December 2022)
Department of the Treasury                                Attach to your tax return.                                  Attachment 
Internal Revenue Service          Go to www.irs.gov/Form7203 for instructions and the latest information.             Sequence No. 203
Name of shareholder                                                                                   Identifying number

A     Name of S corporation                                                                           B    Employer identification number

C   Stock block (see instructions): 
D  Check applicable box(es) to indicate how stock was acquired:
   (1)  Original shareholder        (2)   Purchased       (3)   Inherited (4)          Gift (5)     Other:
E  Check if you have a Regulations section 1.1367-1(g) election in effect during the tax year for this S corporation  . . .      . .
 Part I Shareholder Stock Basis
  1   Stock basis at the beginning of the corporation’s tax year  . .  .  .     .    . . .  . .   . . .   .  .      1 
  2   Basis from any capital contributions made or additional stock acquired during the tax year  .   .   .  .      2 
  3 a Ordinary business income (enter losses in Part III)     . . . .  .  .     .    . .    3a
   b  Net rental real estate income (enter losses in Part III)  . . .  .  .     .    . .    3b
   c  Other net rental income (enter losses in Part III)  .   . . . .  .  .     .    . .    3c
   d  Interest income  .      . . . .   . .  .  .  .  .   .   . . . .  .  .     .    . .    3d
   e  Ordinary dividends .      . . .   . .  .  .  .  .   .   . . . .  .  .     .    . .    3e
   f  Royalties  .       .  . . . . .   . .  .  .  .  .   .   . . . .  .  .     .    . .    3f
   g  Net capital gains (enter losses in Part III) .  .   .   . . . .  .  .     .    . .    3g
   h  Net section 1231 gain (enter losses in Part III)  . .   . . . .  .  .     .    . .    3h
   i  Other income (enter losses in Part III) . .  .  .   .   . . . .  .  .     .    . .    3i
   j  Excess depletion adjustment  .      .  .  .  .  .   .   . . . .  .  .     .    . .    3j
   k  Tax-exempt income  .        . .   . .  .  .  .  .   .   . . . .  .  .     .    . .    3k
   l  Recapture of business credits  .    .  .  .  .  .   .   . . . .  .  .     .    . .    3l
   m  Other items that increase stock basis     .  .  .   .   . . . .  .  .     .    . .    3m
  4   Add lines 3a through 3m  .    .   . .  .  .  .  .   .   . . . .  .  .     .    . . .  . .   . . .   .  .      4
  5   Stock basis before distributions. Add lines 1, 2, and 4  .  . .  .  .     .    . . .  . .   . . .   .  .      5
  6   Distributions (excluding dividend distributions)    .   . . . .  .  .     .    . . .  . .   . . .   .  .      6
      Note: If line 6 is larger than line 5, subtract line 5 from line 6 and report the result as a capital gain on
      Form 8949 and Schedule D. See instructions.
  7   Stock basis after distributions. Subtract line 6 from line 5. If the result is zero or less, enter -0-, skip
      lines 8 through 14, and enter -0- on line 15  . .   .   . . . .  .  .     .    . . .  . .   . . .   .  .      7
  8a  Nondeductible expenses .      .   . .  .  .  .  .   .   . . . .  .  .     .    . .    8a
   b  Depletion for oil and gas  .  .   . .  .  .  .  .   .   . . . .  .  .     .    . .    8b
   c  Business credits (sections 50(c)(1) and (5))  . .   .   . . . .  .  .     .    . .    8c
  9   Add lines 8a through 8c  .    .   . .  .  .  .  .   .   . . . .  .  .     .    . . .  . .   . . .   .  .      9
10    Stock basis before loss and deduction items. Subtract line 9 from line 7. If the result is zero or less, 
      enter -0-, skip lines 11 through 14, and enter -0- on line 15 .  .  .     .    . . .  . .   . . .   .  .      10
11    Allowable loss and deduction items. Enter the amount from line 47, column (c)  .      . .   . . .   .  .      11
12    Debt basis restoration (see net increase in instructions for line 23)   . .    . . .  . .   . . .   .  .      12
13    Other items that decrease stock basis   .    .  .   .   . . . .  .  .     .    . . .  . .   . . .   .  .      13
14    Add lines 11, 12, and 13  .   .   . .  .  .  .  .   .   . . . .  .  .     .    . . .  . .   . . .   .  .      14
15    Stock basis at the end of the corporation’s tax year. Subtract line 14 from line 10. If the result is 
      zero or less, enter -0-     . .   . .  .  .  .  .   .   . . . .  .  .     .    . . .  . .   . . .   .  .      15
Part II Shareholder Debt Basis
                              Section A—Amount of Debt (If more than three debts, see instructions.)
                                                                    (a) Debt 1         (b) Debt 2         (c) Debt 3
                                Description                         Formal note        Formal note        Formal note     (d) Total
                                                                    Open account       Open account       Open account
16    Loan  balance  at  the  beginning  of  the  corporation’s 
      tax year  .        .  . . . . .   . .  .  .  .  .   .   .
17    Additional loans (see instructions)  . .  .  .  .   .   .
18    Loan balance before repayment. Add lines 16 and 17 
19    Principal portion of debt repayment (this line doesn’t 
      include interest) .     . . . .   . .  .  .  .  .   .   .
20    Loan balance at the end of the corporation’s tax year. 
      Subtract line 19 from line 18     . .  .  .  .  .   .   .
For Paperwork Reduction Act Notice, see separate instructions.                    Cat. No. 56396V                  Form 7203 (Rev. 12-2022) 

Form 7203 (Rev. 12-2022)                                                                                           Page  2 
Part II  Shareholder Debt Basis (continued)
                                           Section B—Adjustments to Debt Basis
                               Description                     (a) Debt 1      (b) Debt 2       (c) Debt 3      (d) Total
21 Debt basis at the beginning of the corporation’s tax 
   year  . .             . . . . . .   . . . .  . . .  .
22 Enter the amount, if any, from line 17 .  .  . . .  .
23 Debt basis restoration (see instructions)  . . . .  .
24 Debt basis before repayment. Add lines 21, 22, and 23
25 Divide line 24 by line 18  .    .   . . . .  . . .  .
26 Nontaxable debt repayment. Multiply line 25 by line 19
27 Debt  basis  before  nondeductible  expenses  and 
   losses. Subtract line 26 from line 24 .   .  . . .  .
28 Nondeductible  expenses  and  oil  and  gas  depletion 
   deductions in excess of stock basis  .    .  . . .  .
29 Debt basis before losses and deductions. Subtract line 
   28 from line 27. If the result is zero or less, enter -0-  .
30 Allowable losses in excess of stock basis. Enter the 
   amount from line 47, column (d)       . . .  . . .  .
31 Debt  basis  at  the  end  of  the  corporation’s  tax 
   year. Subtract line 30 from line 29. If the result is zero 
   or less, enter -0-        . . . .   . . . .  . . .  .
                                           Section C—Gain on Loan     Repayment                                         
32 Repayment. Enter the amount from line 19  .    . .  .
33 Nontaxable repayments. Enter the amount from line 26
34 Reportable gain. Subtract line 33 from line 32   .  .
Part III Shareholder Allowable Loss and Deduction Items
                                                    (a) Current   (b) Carryover   (c) Allowable (d) Allowable   (e) Carryover 
                                                    year losses   amounts         loss from        loss from    amounts
                           Description                 and        (column (e))    stock basis   debt basis
                                                    deductions    from the 
                                                                  previous year
35 Ordinary business loss        . .   . . . .  .
36 Net rental real estate loss     .   . . . .  .
37 Other net rental loss  .      . .   . . . .  .
38 Net capital loss  .       . . . .   . . . .  .
39 Net section 1231 loss  .      . .   . . . .  .
40 Other loss            . . . . . .   . . . .  .
41 Section 179 deductions  .       .   . . . .  .
42 Charitable contributions  .     .   . . . .  .
43 Investment interest expense         . . . .  .
44 Section 59(e)(2) expenditures  .      . . .  .
45 Other deductions  .         . . .   . . . .  .
46 Foreign taxes paid or accrued  .      . . .  .
47 Total loss. Add lines 35 through 46 for each 
   column. Enter the total loss in column (c) on 
   line 11 and enter the total loss in column (d) 
   on line 30  .         . . . . . .   . . . .  .
                                                                                                        Form 7203 (Rev. 12-2022)