Generating individual SC Form I-355, Worksheet 1 in Lacerte

Follow these steps to generate Form I-335, Worksheet 1 in the program:

1. Go to Screen 20, Passthrough K-1's.
2. Select Partnership Information or S Corporation Information under Passthrough K-1's in the left navigation menu.
   • Form I-335 does not apply to estates or REMICs.
3.  Select the applicable activity under Partnership or S Corporation in the left navigation menu.
4. Scroll down to Part II - Information About the [Partner/Shareholder].
5. Make sure the Not a passive activity box is checked.
   • The individual must have actively participated in the activity.
6.  Select South Carolina Active Trade or Business Amounts from the left Sections box.
   • You may have to scroll down to find this section.
7. Enter at least one income amount or the Ownership percentage (.xxx/1=100%).
   • The minimum requirements to trigger the SC I-335 in this section are at least one income amount or ownership percentage.
8. Go to Screen 54.331, South Carolina Taxes.
9. Scroll down to the Schedule I-335 section.
10. Check the box labeled Use I-335 to calculate tax, if applicable.
    1. This will tell Lacerte to use Form I-335 to automatically calculate tax on Schedule C, and F income as entered in the federal return.