Have Tax Questions? Ask a Tax Expert for Answers ASAP
Normally draw from C corp will be considered as dividend income and will be reported on Sch B on your personal tax return.
Let me know if you have any question.
Please note: This advice is provided with the understanding that all the relevant facts have been provided by you. Any change in facts might affect the advice given and hence may not be relied on in such cases. Nothing contained in this reply was intended or written to be used, can be used by any taxpayer, or may be relied upon or used by any taxpayer for the purposes of avoiding penalties that may be imposed on the taxpayer under the Internal Revenue Code of 1986, as amended.
Please note that distributions to the extent of accumulated and current earnings and profits is dividend. Any distribution over this amount will be return of capital and may be taxable as capital gain/loss.
You may want to review Publication 542 for more details