Hi,

YES, it is messy!  And I'm trying to help my client clean this up.  This is a new client for me so I'm learning more about the situation as I go.  You are correct in that the corporation has no note payable between anyone. To answer your questions:

1.  Husband and Wife are the shareholders.

2. Property is in the name of the corporation (I mentioned this in my last reply)

3. Insurance: I don't know, but will ask

4. Mortgage is in shareholder's name (I mentioned this in my last reply)

5. Escrow - I don't know

6. I don't know, but will ask.

7.  This all happened in 2019.  I don't know who gave the shareholder guidance.  I didn't think that mattered at this point.  I'm assuming prior CPA, or maybe he made these decisions on his own. 

I'm hoping to get some guidance from you, or another very experienced corporate tax preparer.