IRS shows information from a K-1 for a stock we own which shows $51 in Int & $59 in Div. This seems to be "my share as a Partner" of the Int & Div they recd. In reviewing the Instructions for the Sch K-1, it says on the front page: “General Instructions, Purpose of Sch K-1: The partnership uses Sch K-1 to report your share of the partnership’s income, deductions, credits, etc. Keep it for your records. Do not file it with your tax return.” Since I received none of the Interest or Dividends listed (Interest $51) & (Dividends $59), I determined I did not have to report income I did not receive. Is this the correct way to handle a K-1?
FYI, the K-1 also showed $489 Distributions which I did receive as a Dividend sent to my Stock Broker & reported on the Broker's 1099-DIV; I did report ALL dividends received.
The K-1 reports your share of the partnership's income; it is taxable income to you whether or not the partnership distributes any part of it to you.
The correct way to report the K-1 is to enter it exactly as you received it in the K-1 interview under Business/Investment and Estate Trust Income.
I first filed long form and then turbo tax changed to short form. IRS showed I have 11 1099's. I showed the same amount but when turbo tax redid my tax to short form unable to tell what computer did. I show amount that I owe is close to IRS but also sent form that I would make payments and now that are following up with payment authorization forms and I am not sure IRS is right. Please have someone call me ASAP at [phone number removed]. I am two year turbotax customer. I filed this year with someone else to compare and they show on their sys for 2020 I should get money back. Do not want to sign payment wavier if we are correct. Payment involve is 4500.
Please help me.
I am not a new member. This is 3rd year. I tried to file long form 2018 and turbo tax changed to short form. Some information in different places but I found all the figures and not sure error. I also filed for payments to be deducted and they are sending me formal notice for repayment signatures. I do not want to sign if I am due the refund. I show refund due us for 2019 and I filed different company for 2020 to see what they show and they show I am due a refund. the first letter showed I was missing some of my 11 number of 1099's. I had all listed on the program. 2019 I used shortform and showed IRS I was due refund and they paid both of 2018 and 2019 refund. If I sign the forms I received today then I know I will have to pay the 4500. they say we owe. Please call me at [phone number removed]. I need help now.
@BREEZE3 There was not a short form for tax year 2018. The Form 1040EZ and 1040A were discontinued after tax year 2017. There is only the Form 1040.
You can use the TurboTax Audit Support Center for assistance in understanding the IRS notice or letter received - https://support.turbotax.intuit.com/irs-notice/audit-support/