How do I get around filling the details of the disposition of a partnership K-1.

Forum|Forum|4 years ago
March 23, 2022
4 replies
8 views

I have a K-1 from a Partnership that was sold in 2021. The k-1 shows the capital gains from the sale. The k-1 says it is final. Then it takes me to where I have to fill in the details of the sale. That has already been done when the partnership tax return was filed. The only way around that is to leave off the check mark that says final. How do I get around that?

ProSeries Professional

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Best answer by dkh

So you're saying the Partner did not sell his ownership - the assets of the Partnership were sold, therefore this is the final return. If all the money your client received was reported as asset sales and guaranteed payments through the Partnership return then enter sale price and basis as same.

T

TaxGuyBill

Level 15

I could be wrong, but I think it is asking for the sale of the Partnership Interest, not anything within the Partnership.

So you would enter the taxpayer's Basis in the Partnership, and whatever the Partnership Interest was sold for.

rbynaker

Level 13

I do so few of these that I just call @poolcleaner and have her walk me through the data entry. 🙂

taxiowa

Level 8

The partnership sale happens outside the partnership in that little area you are taken to when you click final. You have to enter sale price of interest less the cost of the p'ship interest.

What you are seeing on the K1 is the sale of asset or assets in the partnership. For instance the partnership owned an apartment bldg and sold it. Those are the capital gain on the K1. That does affect partnership basis but is irrelevant to sale of partnership.

Just-Lisa-Now-

Intuit Community Champion

If its one of those PTPs you may find the sale info already reported on the 1099B from the brokerage that holds the investment..

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

dkhAnswer

Level 15

So you're saying the Partner did not sell his ownership - the assets of the Partnership were sold, therefore this is the final return. If all the money your client received was reported as asset sales and guaranteed payments through the Partnership return then enter sale price and basis as same.

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