When an s-corp dissolves what to do with the common stock 1,000 and paid in capital 2,850? Where on 1120S does this go and does it carry over to K-1's?

in the S Corp, cash or capital contributions would make the common stock for each shareholder rise or fall depending upon which stockholder made the capital contributions, however everything passes through the AAA account.You need to review the AAA calculation. AAA is increased for the stock 1k, paid in capital 2850. The PIC will also increase AAA. Non-dividend distributions taken over the years should have decreased AAA. The difference between Retained Earnings and AAA is basically tax treatment items. Distributions exceed AAA ?d betrated as capital gain on SCh D