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    partnership tax returns

    Randy922
    Level 1

    I have a partnership in which about half the partners are retirement plans.   It is an IL partnership but generates income (and losses) in multiple states, which is a problem of its own, but that's another complaint for another day.  The IL return is calculating and adding IL pass-through withholding on the out of state partners, many of which are retirement plans.  I understand that pass-through withholding must be paid for the out of state individuals, but there should be no tax due from the retirement plan partners.  How do I prevent the retirement plan partners from being assessed the pass-through withholding?

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    2 Comments 2
    George4Tacks
    Level 15

    Just guessing - Is the Partner Information set to Exempt for Type of Entity?

    @kreinard may have some input


    Answers are easy. Questions are hard!
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    sjrcpa
    Level 15

     And have you given these tax exempt partners their UBIT info?


    The more I know the more I don’t know.