PhoebeRoberts
Level 11
Level 11

Not all states permit allocation, as opposed to apportionment. Even though the 1065 K-1 shows your theoretical state-source income, you get to recalculate it using your own factors plus your share of the 1065's factors for a bunch of states, including UT. You pretty much have to look at each state's filing instructions to see how to calculate state-source income.

Even for states that have you pick up just the allocated income from a pass-through, the K-1 input screen is not always the place it gets input.