Entering nondeductible expenses on Form 1065 in Lacerte

You can enter nondeductible expenses in 3 locations in the partnership module in Lacerte:

1. Enter nondeductible expenses on Screen 27, Schedule M-1, M-3

1. In Detail, select Screen 27, Schedule M-1, M-3 (Book Tax Adj.).
2. Under Expenses Recorded on Books not included on Schedule K, enter your nondeductible expenses in the Other field.

2. Enter nondeductible expenses on Screen 20, Passthrough K-1's:

1. In Detail, select Screen 20, Passthrough K-1's.
2. Under Line 18, Tax-Exempt Income and Nondeductible Expenses, enter your nondeductible expenses in the Nondeductible expenses (C) field.

3. Enter nondeductible expenses on Screen 22, Other Schedule K Items

1. In Detail, select Screen 22, Other Schedule K Items.
2. Under Tax-Exempt Income and Nondeductible Expenses, enter your nondeductible expenses in the Nondeductible expenses [A] field.