20S: S-Corporation Information/Tax Return (Revision)
Alabama · Alabama DOR · Used for tax years 2025
Alabama Form 20S is the 2025 S Corporation Information/Tax Return. It reports income, deductions, Alabama adjustments, and income allocated or apportioned to Alabama, along with tax due, credits, payments, and any refund.
What you'll need
Have the corporation’s federal employer identification number (FEIN), federal business code, shareholder counts, and total assets shown on Federal Form 1120S available. The form also asks for income, deductions, tax payments, and beginning- and end-of-year balance sheet amounts.
Attach the following when the related items apply:
- Federal Form 1125-A for cost of goods sold.
- Federal Form 4797 for the gains or losses reported on page 1, line 4, or Schedule K, line 8.
- Federal Form 4562 for depreciation reported on page 1, line 14.
- Form 7205 for the energy efficient commercial buildings deduction.
- Form 8825 for net rental real estate income or loss.
- Statements for other income, taxes and licenses, other deductions, and other items marked “attach statement.”
- Supporting schedules for other reconciliation items on Schedule A and nonbusiness items on Schedule K.
- Schedule PC for total credits reported on Schedule K.
- Prior written approval if using separate accounting as a multistate corporation.
Schedule DE asks for all qualified subchapter S subsidiaries (Q-Subs) and disregarded entities, including their names, FEINs, and income or loss from all sources and Alabama sources. Attach additional schedules if needed.
Common mistakes
- Do not complete Schedules B or C if the entity operates exclusively in Alabama.
- On page 1, line 25, enter nonbusiness income as a negative amount and losses as a positive amount.
- Do not include depreciation on line 14 if it was already claimed on Federal Form 1125-A or elsewhere on the return.
- Do not deduct oil and gas depletion on page 1, line 15. Schedule K has a separate line for oil and gas depletion.
- Multistate entities should not use Schedule K to allocate separately stated business income. The form directs them to the Schedule B instructions.
- If using separate accounting as a multistate corporation, attach the required prior written approval.
- Remember to have an officer sign and date the return.
Questions people ask
Can I authorize the department to discuss the return with my preparer?
Yes. The signature area has a checkbox authorizing a Department of Revenue representative to discuss the return and attachments with your preparer.
Where do I list subsidiaries and disregarded entities?
Use Schedule DE to list all qualified subchapter S subsidiaries (Q-Subs) and disregarded entities. Include each entity’s name, FEIN, income or loss from all sources, and Alabama-source income or loss. Attach additional schedules if needed.
Where do I report estimated tax payments?
For the 2025 return, line 35a reports 2025 estimated tax payments and any amount applied from the 2024 return. Extension payments go on line 35b.
Can an overpayment be credited toward next year’s estimated tax?
The 2025 form includes line 36a for a credit to 2026 estimated tax.