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Level 5
March 10, 2021
Question

Federal and State K-1 difference statement

  • March 10, 2021
  • 2 replies
  • 12 views

K-1 1120-S federal amount is different than the state amount. The state is higher by few thousand.   I see where to make adjustment in state program but not sure what to put under explanation.  The documents from 1120-S CPA does not include what the difference is.  Any guidance is appreciated.

 

 

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2 replies

PATAX
Level 12
March 10, 2021

It could be a federal/state depreciation difference.. But I am not sure... just my opinion.

ColmattAuthor
Level 5
March 10, 2021

Thought so too.  Does it really matter what the statement says? Can I just put something like "State tax adjustments".?