I just pulled up the instruction for IT-65 for 2024 and on page 18 and they have updated that verbiage. It now says:

A partnership will be assessed a penalty of $500 if it fails to file
a composite return that includes all nonresident partners. If a
partnership has a nonresident partner with a negative distributive
share of income after modifications, that partner is required to be
listed.

So at some point IN updated the instructions to require the composite return across the board.