Hello and thank you for using Just Answer. Is this your first year owing a S-Corp? Have you ever file a S-Corp tax return?
Tax treatment of distributions are treated as follows:
1) a nontaxable return of capital to the extent of the shareholder's remining stock basis is not taxable
2) if you have a zero basis in the S-Corp. distributions are taxable income and is not subject to self-employment tax.
The $30,000 is not subject to self-employment tax and will be reported as income on your K1.