New client. I amended the CA 100S to include the PPP loan expenses that were not deductible in 2020 for CA (client didn't pass gross income reduction test). The amended 100S shows the disallowed PPP loan expenses on line 7 of form CA100S. However, on line 1 of the CA K-1 for the shareholder, they're not added back to S Corp income. They show up on line 10b on 100S K-1 as other adjustments. Is this correct? What this means is that there's no adjustment on the CA K-1 for the shareholder's PPP loan expenses that were deducted but shouldn't have been. Is it correct that CA income doesn't increase for the S Corp shareholder on line 1 of K-1 for the disallowed PPP expenses?