Accountant-Man
Level 13
06-01-2020
12:05 PM
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A composite return is filed so the partner(s) don't have to file the same state's return for themselves. So no double taxation.
But you can still claim a deduction of federal schedule A and a credit on your home state. The payment of the composite tax for the benefit of the partner is a draw on the 1065, not a tax deduction on the 1065.
** I'm still a champion... of the world! Even without The Lounge.