Form CT-1065 Partnership Income

[Johnnyor58]

In Turbo-Tax Business, Form CT-1065 is having similar problems to last year - where it's not populating the CT K-1s with the partnership income from the Federal K-1s. So I can't file my CT business income taxes. Is this issue going to be resolved this year?  The workaround I used last year, clicking "not applicable" for the Pass-Through Entity Tax Election is not working as Turbo Tax flags this as an error and won't let me file the return.  

[PatriciaV]

You should be able to answer "No" to the Pass-Through Entity Tax Election on CT-1065 p1-1. This option should allow you to file the return.

[Johnnyor58]

Thanks for your response.  Responding "no" to the Pass-Through Entity Tax Election, does eliminate the error and would allow me to file the return. But the return says that we owe no taxes for the LLC, nor does it populate the K-1's so that we can report the income on our personal state of CT tax return.  I don't think the State of CT would be happy with that.   I was on the phone with a support person for about an hour today trying different options, and we were not able to resolve the issue.  It seems like a bug in the software related to the Pass-Through Entity Tax Election.  

[PatriciaV]

Please confirm that Form CT-1065 Part 1 Schedule A Line 1 has income but Line 6 has no tax due.

[Johnnyor58]

In response to this question:  

Please confirm that Form CT-1065 Part 1 Schedule A Line 1 has income but Line 6 has no tax due.

Part 1, Schedule A Line 1 shows no income - regardless of whether I answer Yes or No to the Pass-Through Entity Tax Election.  Furthermore, on Part 1, Schedule B the software is not picking up the PE Member names and information from Part 4 of the return.  So as a result there's no income or taxes due on Schedule A, and there's no K-1 income showing, regardless of how I answer the Pass-Through Entity Tax Election.  

If this is not resolved, I can fill out the form on the State of CT DRS web site, but would be better if Turbo Tax State of CT was working correctly so I could file electronically from here. 

[PatriciaV]

What type of income are you reporting to the partners? 

Confirm you have gone through the state partnership section of the step-by-step interview to review your entries for CT.

Confirm that you have used Forms mode and checked the box on the CT Information Worksheet under Part III to Print Schedules K-1 with Tax Return.

[Johnnyor58]

Hi there - yes, I've done all of those steps.  Today I went ahead and just filled in the form manually on the State of CT DRS web site so that I could meet the 3/16/26 filing deadline and make our payment.  I was able to use the info from the CT 1065 forms in Turbo Tax to complete the manual filing - but would be ideal if Turbo Tax could address this issue for others, and for 2027. It's been a problem for several years now.  Thanks!