Problem:
Dominique and Terrell are joint owners of a bookstore. The business operates as an S corporation. Dominique owns 65% and Terrell owns 35%. The business has the following results in the current year.
Revenue $1,500,000
Business expenses 750,000
Charitable Contributions 50,000
Short-term capital losses 4,500
Long-term capital gains 6,000
How do Dominique and Terrell report these items for tax purposes?