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New Member
posted Jun 6, 2019 1:31:49 AM

How do you report a nonpassive loss in Schedule K1

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4 Replies
Intuit Alumni
Jun 6, 2019 1:31:51 AM

When you are entering this K-1 information into TurboTax, you will need to answer the question "Did you participant?" with "Yes"

Also under the screen titled "Describe this partnership", select the box for "All my investment in this activity is at risk"

This should allow the losses to be considered non-passive and be available to offset ordinary income.

To enter your K-1 in TurboTax Online or Desktop, please follow these steps:

  1. Once you are in your tax return, click on the “Federal Taxes” tab ("Personal" tab in TurboTax Home & Business)
  2. Next click on “Wages and Income” ("Personal Income" in TurboTax Home & Business)
  3. Next click on "jump to full list" or “I’ll choose what I work on”
  4. Scroll down the screen until to come to the section “Business Investments and Estate/Trust Income ”
  5. Choose "show more", then Schedule K-1 and follow the onscreen instructions

Returning Member
May 1, 2020 9:39:38 AM

Thank you I will try to follow your suggestion

Returning Member
May 1, 2020 11:00:09 AM

In my turboxt 2019 version in schedule K-1 section,  I did not find the the question " did you participant ?  Therefore I can not type"  Yes" as you suggested . can you give another advice hos to enter Nonpassovice loss from K-i into Schedule E. Thank you I am looking forward to hearing from you

Level 15
May 1, 2020 12:31:30 PM

@George391_Wang 

What box of the K-1 is the income listed?

 

Why do you think the income is non-passive?