Entering noncash contributions from an S Corp K-1 into a fiduciary return in ProConnect Tax
by Intuit• Updated 8 months ago
This article will help you enter noncash contributions, from Box 12, codes D or E, from an S-Corporate Schedule K-1 into a fiduciary return. Form 1041 and Form 1041's Schedule K-1 don't refer to noncash contributions specifically, so there are a few options for entering noncash contributions from a pass-through entity.
Option #1:
An entry in this field reports the amount on the Form 1041, page 2, Schedule A, line 7. This will print From K-1 and the amount in blue text on the dotted line, and include the amount in the total, should there be charitable contributions entered elsewhere in detail.
- Go to Input Return ⮕ Income ⮕ Passthrough K-1's.
- Select the Lines 12-20 tab.
- Scroll down to the Other Deductions (13) section.
- Enter the amount in Charitable contributions (A, B, G).
Option #2:
An entry in this screen will create a supplemental statement for the fiduciary Schedule K-1's so the information is included as part of the beneficiary passthrough deductions. The noncash contributions can then be entered on the beneficiary's personal tax return.
- Go to Input Return ⮕ Sch. K-1 ⮕ Federal.
- Select Bene / Gtr in the top right of the input screen.
- Select the beneficiary or grantor tab which will allow you to enter supplemental information which will be included on the selected beneficiary or grantor supplementary pages.
Option #3:
Entries in this screen can be allocated to the estate or trust's taxable income, tax-exempt income, or both. An amount entered here will be included in the computation of distributable net income (DNI).
- Go to Input Return ⮕ Deductions ⮕ Other Deductions.
- Enter a Description of other deduction.
- Select an option to Allocate deductions to (Click on arrow to select from list) from the dropdown list.
- Select an option for 2% of AGI (Click on arrow to select from list) from the dropdown list.
- Enter the amount of deduction in either Income or Corpus in the subsection Deduction Amount > Accounting Income.
- Complete any additional applicable information.