The IRS added code 19D this year which represents only the decrease to a partner / member's share of liabilities.    This of course was already disclosed, but now the IRS wants a code.   Lacerte is taking this amount and lower the K-1 capital account.    I don't believe this is accurate as the capital on the K-1 represents equity / capital (and not basis which would include debt).    I think code 19D should be informational and not flow to schedule M-2 or the Schedule K-1s.   Am I off base or missing something?