rgbryan2
Level 1

DOES THE NET LOSS ON THE PARTNERSHIP OFFSET THE PAYMENTS TO PARTNERS

 

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PhoebeRoberts
Level 11
Level 11

Are you asking if, on the 1065 K-1, the Box 14 net earnings from self-employment includes both guaranteed payments for services and Box 1 ordinary business income? 

You should look at the "Worksheet for Figuring Net Earnings (Loss) From Self-Employment" from the 1065 instructions. Lacerte's calculation follows the worksheet.