Question
On 1040, K1 1120S Box 8A (NOT passive) being taxed NIIT
On a 1040, I have an 1120S K1 with the following entry being taxed NIIT:
On the first tab (Info), Not a passive activity is checked
Box 8A is in the first field which is NOT passive (the second field is Passive
What else can I do to tax it as a non passive?
FYI, in the 11120S, I can override the shareholder K1’s to Box 9 (Net section 1231, which is where it should go (this is internally generated goodwill on an asset sale). It is being reported as 8a (Net Long Term capital gain. However, there is no corrosponding Schedule K override for both Box 8 and Box 9, so that doesn’t work
It works if there is a specific asset for goodwill, but there isn’t (I tried for future reference)
