Corp tax schedule M

Schedule M–1

Reconciliation of Income (Loss) per Books with Income per Return

Corporations must reconcile income with ___ income on Schedule M–1

financial accounting, taxable

Common reconciling items

• Federal income tax per books

• Net capital losses

• Income reported for tax but not book income (for example, prepaid income)

• Expenses deducted for book income but not tax (for example, excess charitable contributions) and vice versa

__ and tax depreciation in excess of __ are

subtracted

Tax-exempt interest, financial accounting depreciation

Schedule M–2

Analysis of Unappropriated Retained Earnings per Books

Schedule M-2 is form

1120

Corporations must reconcile unappropriated retained earnings at the ___ using

Schedule M–2

beginning and end of the year

Schedule L (balance sheet) and Schedules M−1 and M−2 of Form 1120 are ___ for corps under $250k in gross receipts and assets

not required

Schedule M–3

Net Income (Loss) Reconciliation for Corporations with Total Assets of $10 Million or More