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hcliston
Level 5
June 7, 2021
Question

Partnership Distribution in Excess of Basis

  • June 7, 2021
  • 2 replies
  • 14 views

Hi --

On a Partnership K-1, my clients took a distribution in excess of their basis. 

I entered the amount on Line 19A as a distribution. 

But now, I think I need to add it somewhere else to make sure it's taxed properly, since it is not a return of basis.

Where do I put it?  (In ProSeries Basic).

Thank you!

 

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2 replies

sjrcpa
Level 15
June 7, 2021

There is nowhere else on the K-1 for it. You could add a statement explaining it.

The more I know the more I don’t know.
Level 15
June 7, 2021

I think what you are asking is how to make ProSeries tax the excess distributions, right?

If so, it would be entered on the 8949/Schedule D (in ProSeries, use the 1099-B worksheet) to enter the taxable excess distributions.

sjrcpa
Level 15
June 7, 2021

Good mind reading Bill.

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