1065 and Wefunder SPV (Crowdfunding)

msouvenir · ‎03-22-2023

I have a client that is setup as a partnership and has to issue a k-1 to Wefunder for crowdfunding investments. Now the k-1 that needs to be issued to Wefunder has shares but there is no partnership profit or loss %. How would I enter shares issued with no partnership ownership into Proseries? Or would I have recalculate % based on the shares issued from the partnership? Fyi: Wefunder SPV

dkh · ‎03-23-2023

Not sure this is the answer but.... in the K1 worksheet where the partner information is setup, you can designate the Partner % of 1) Profit 2)Loss and 3)ownership

qbteachmt · ‎03-23-2023

"How would I enter shares issued with no partnership ownership into Proseries?"

Something is wrong, here, and there seems to be some bad guidance.

A Corporation issues shares. LLC does not have stock. LLC would have units of interest. Not shares. A Partnership has partners. You are not a Partner without Ownership, because that is the definition. Perhaps they have Classes of membership?

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