I need someone who knows K1 partnerships

Forum|Forum|1 year ago
April 11, 2024
1 reply
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Why can I not put a negative number the K1 form part III Line 1 & 2 accept negative numbers? It's designated as a profit or loss line.

TurboTax Home & Biz Windows

PatriciaV

Employee

The income lines in Part III of Schedule K-1 (K-1 Partner worksheet) accept negative numbers, which denote a loss. Have you checked one of the boxes to what type of activity is reported on this K-1?

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parkwallAuthor

Yes. I was able to get a hold of 2 different tax preparers on the 14th. We went through every combination but couldn't get it to accept a negative number. It does say in the step by step that the number in line 2 must be a positive number, which doesn't make sense if you have a loss for the business. Neither tax preparer could fix the issue or tell me what I should do differently. Finally, the second tax preparer checked the generated K-1 and all the calculations were correct, so we agreed that I would file it with that error, since it was only on a worksheet.

However, when I went to file it, I then got other errors that I didn't have before. Reviewing the forms I also realized that the accountant who prepared the K-1 sent to us, didn't give us a number to put into line 20 code Z. I called him but he was gone and won't be back until Apr 29th.

I filed for an extension. So, if you'd like to work with me on the line 2 issue, I'd appreciate the insite. Just let me know when and whether you'll call me or I should call you. Anytime around 4 pm or after works for me.

Thank you