The following are frequently asked questions about partnership Other Schedule K Items, deductions, self-employment, foreign transactions, and nondeductible expenses in Lacerte
What's new for Schedule K-1 for tax year 2023:
For tax year 2023 the IRS has added multiple new codes to the Schedule K-1. Most changes involve new codes for Other Income, Other Deductions, Other Credits and Other Information to provide additional details for when the 1040 is completed. To see the Partnership codes click here, to see the S-Corporation codes click here and scroll down to the code lists on the last pages of the instructions.
Before you start:
This article will help you enter items on Form 1065, Schedule K. If you received a K-1 from a partnership and need to enter it in an individual (1040) return, see:
- Entering partnership Schedule K-1 line 11 code I in an Individual return
- Entering Foreign Transactions from Line 16 for Schedule K-1 (1065)
- Entering a partnership Schedule K-1, line 20 in the Individual module
How do I enter foreign taxes for schedule K, line 21?
- Go to Screen 22.1, Other Schedule K Items.
- Scroll down to the Other Information section.
- Enter the Total foreign taxes paid or accrued.
The partnership must complete Schedule K-2, Parts II and III.
Where do I enter self-employment for box 14?
The program can generate three different types of self-employment earnings for Schedule K-1, line 14.
Box 14, Code A
Box 14, Code A relates to net earnings from self-employment and is automatically calculated for anyone indicated as a General Partner/LLC Manager on the Partner Information screen.
The Schedule K-1 instructions state that you should enter input related to net earnings from self-employment for each general partner.
Box 14, Code B
Box 14, Code B reports gross farming and fishing income and is automatically calculated, but an adjustment entry is available. Partners (whether limited or general) need this amount to figure their net earnings from self-employment and prepare their individual returns.
Box 14, Code C
Box 14, Code C reports gross nonfarm income, and isn't calculated by the program. Partners (whether limited or general) may need this amount to figure their net earnings from self-employment and prepare their individual returns.