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posted Oct 14, 2024 10:26:37 AM

Can I file 1040-X to fix K-1 carryover more than 3 years ago

I've owned 40% share of a partnership LLC during 2018-2024, which will be dissolved soon by the end of 2024.

Each year I got a K-1 with net loss. Since my actively participated hours were on the borderline of 500 hours, I thought the loss was passive loss and thus claimed it as a carryover for the years of 2018-2022. Recently a CPA reviewed my tax returns and told me the K-1s treated me as an active participation so I should claim it as active loss and use it to offset my ordinary income each year. The CPA would like to amend my tax returns for 2020-2022 but give up 2018-2019 because they are more than 3 years old.

 

My question is: Is there a way to amend 2018 and 2019 as well? For example, 
Net operating loss, or "realize" 2018-2023 carryovers to 2024 tax return? Thank you!

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1 Replies
Level 15
Oct 14, 2024 10:49:18 AM