Scorp received k-1

[Unregistered]

Scorp is partner in LLC.
What form on the scorp is k1 from LLC reported on?
Also, can scorp have guaranteed payments from the LLC or should it all be distributions?

[Bees Knees]

It depends on what is on the K-1. For example, line 1 ordinary business income or loss from the LLC K-1 would be reported on line 5 of page one of the 1120S (See TTB, page 19-18). Separately stated items such as interest and capital gains from the LLC K-1 would be reported as separately stated items on the S corp’s K-1. And yes, the LLC can pay guaranteed payments to the S corporation. You would report that income the same as line 1 ordinary business income on the S corp return.