On 1065, one partner is a foreign corporation. On Schedule B-2, how do I show it as a, eligible foreign entity?

[rick-hunter]

On the K-1 worksheet where I enter partner information, I've checked the "Corporation" box as well as the "Foreign" box.  They are electing out of the centralized partnership audit regime.  On the Schedule B-2, listing the electing partners, it should be shown as an "Eligible Foreign Entity."  But ProSeries shows it as a Corporation, and when I change it, it shows an override.

[sjrcpa]

They are not eligible to elect out of the Centralized Partnership regime because they have a corporate partner.

[rick-hunter]

Actually, that's not true.  Eligible partners are individuals, corporations, estates, eligible foreign entities (which include foreign corporations, the source of my original questions), and S corporations.

[sjrcpa]

Sorry about that. None of mine can elect out bc they have trust owners.