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Level 1
April 28, 2020
Question

Schedule L out of balance

  • April 28, 2020
  • 1 reply
  • 8 views

Partnership got K-1 from other partnership with ordinary loss of $25809 and rental real estate loss of -14258 and no distributions. Balancesheet as $600k in other assets(Investment into other partnership).

With the loss partners capital accounts is now $565245 and assets is $600000. How do i balance this.

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1 reply

abctax55
Level 15
April 28, 2020

You need to adjust that $ 600,000 investment for the current year activity, including income/loss/non-deductibles/distributions.  

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