I have a client with a negative ending capital account in 2019.  Let's say $10,000.  In July 2020 he gets a distribution of $2,000 which "buys" him out and his share of the company goes to 0.  He is no longer a partner.  Where does the buyout of $2,000 go.  I am assuming that in the Schedule 1 Worksheet for the partner, I change the ending percentage to 0 and checked the box that underneath that about the decrease.

Thanks.