TP has borrowed money from his S-corp and also has loaned money to it over the years, so on the balance sheet we have due from shareholder and due to shareholder, in 2012 they wanted to clean up the BS and have them offset each other. Now on the K-1, line 16, E, it appears as if the shareholder (reduced his basis) was repaid X amount of dollars, but technically he didn't. He received no cash, and I just want to make sure this doesn't get him in trouble. Thanks